New Delhi, Aug 21 (IANS) The government on Friday said that 29 FDI investments have been reported under the revised framework (up to August 20), involving proposed FDI of Rs 4,895.65 crore.
The 29 investments have been reported by investors and entities based in jurisdictions including Mauritius, the United States, the Republic of Korea, Japan, Singapore, Luxembourg and the Cayman Islands, according to a Commerce Ministry statement.
These investments span a range of sectors, including Information Technology, Artificial Intelligence, Information & Communication, Manufacturing, Pharmaceuticals, Data Centres and Transport Services, among others, said the statement.
The official statement further said that the revised framework facilitates and expedites the flow of foreign investment into India by removing the requirement of prior Government approval in cases involving non-controlling Land Bordering Countries (LBC) ownership of up to 10 per cent.
The reform provides greater certainty to investors, reduces transaction time and further strengthens the ease of doing business in India.
“Earlier, foreign investors with beneficial ownership from LBCs of India were required to obtain prior Government approval under Press Note 3 of 2020, even where such LBC ownership was very small. This had been a long-standing concern among investors seeking greater clarity and ease of investment,” the statement noted.
With ‘Press Note 2 of 2026’ and the consequent amendment to the Foreign Exchange Management (Non-debt Instruments) Rules, 2019, notified on May 1, 2026, the beneficial ownership test is now applied at the level of the investor entity.
Investors with non-controlling LBC ownership of up to 10 per cent can invest through the automatic route, subject to applicable sectoral caps, entry routes and other conditions.
The investor entity can proceed with the investment without obtaining any other approval, after reporting the relevant information to the Government, said the ministry.
–IANS
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