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Consolidated Foreign Direct Investment Policy of India

Consolidated Foreign Direct Investment Policy of India

Consolidated Foreign Direct Investment Policy of India is the intent and objective of the Government of India that attracts and promotes FDI. This is done in order to supplement technology, skills, and supplement domestic capital, for up scaling growth. Portfolio investment is different from Foreign Direct Investment. With FDI or Foreign Direct Investment the vision is to establish and flourish a lasting interest in an enterprise. The enterprise that shows lasting interest is definitely the resident in an economy other than that of the investor.

Policy framework on the Foreign Direct Investment realm has been put in place by the Government of India which makes it predictable, easily comprehensible, and also transparent. A circular on the consolidated FDI Policy clearly states all this and more. This circular may be updated every year to keep up with the changes that cause a clear impact and affect the interregnum.

The Government of India has amended consolidated FDI policy in order to curb the opportunistic takeovers as well as acquisitions of Indian companies, from foreign or neighboring nations, in the light of COVID-19 pandemic.

The Department  for promotion of industry and internal trade, said, that an entity of a country which shares a land border with India or where the beneficial owner of investment into India is situated in any such country , can only invest after prior government approval. The new rule will also hold true in case of transfer of ownership of any existing or future FDI in an entity in India.

FDI India is amongst the top FDI consultants in India. They help companies attain foreign investments, in a hassle-free way and also help ease their way into get foreign investments that they had been looking for in the future. The expert team of FDI India ensures their very best and makes every effort to leave no stone unturned when it comes to making the FDI process for easy for the clients. Low-cost and high-quality service is what defines the process of Foreign Direct Investment.

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