Question : Relaxation of FDI Norms

(a) whether the Government proposes to relax FDI norms in various sectors to turn around slowing economic growth of the country and if so, the details thereof along with the present FDI cap in such sectors, sector-wise;

(b) whether the Government has held discussions with the industries/ organisations and other experts in this regard and if so, the outcome of such discussions;

(c) whether the Government does not perceive that such increase in FDI limits of such sectors as dangerous to the security of the country keeping in view that the entire control of some sectors will go in the foreign hands and if so, the details thereof; and

(d) the corrective steps taken by the Government to boost economic growth without compromising the security of the country?

???????? ??? ?????? ?????? (???? ????? ????)
THE MINISTER OF COMMERCE & INDUSTRY
(SHRI PIYUSH GOYAL)

(a) & (b): Review of FDI policy is an ongoing process and changes are made in the FDI policy regime, from time to time, to ensure that India remains an attractive investment destination. FDI in various sectors is allowed in a calibrated manner after having intensive consultations with stakeholders including concerned Ministries/ Departments, State Governments, apex industry chambers, Associations and other organizations taking into consideration their views/comments. Foreign Direct Investment (FDI) policy on various sectors indicating therein sector-wise FDI limits is provided in the ‘Consolidated FDI Policy Circular of 2017’, as amended from time to time through subsequent Press Notes, which are available on the website of Department for Promotion of Industry & Internal Trade at www.dipp.gov.in.

(c) & (d): While FDI policy lays down an enabling framework for attracting foreign investment, Ministry of Home Affairs has laid down detailed guidelines for assessment of proposals from national security point of view. In order to boost economic growth without compromising the security of the country, proposals are evaluated on the basis of their potential threat to nation’s unity, territorial integrity and sovereignty.

*******