Question : REVIEW OF FDI

(a) whether the Government has decided to hike the Foreign Direct Investment (FDI) cap in certain sectors including in FM radio, construction of old age homes, educational institutions, defence, pension and Micro,Small and Medium Enterprises (MSMEs) through automatic route/Foreign Investment Promotion Board (FIPB);

(b) if so, the details thereof alongwith the criteria fixed for the purpose and the likely benefits extended to the Indian companies in view of the above;

(c) the State-wise details of employment generated/to be generated through the hike in the FDI cap; and

(d) the steps taken by the Government to encourage and liberalise FDI in various sectors in order to boost their development?

THE MINISTER OF STATE IN THE MINISTRY OF COMMERCE & INDUSTRY (SHRI JYOTIRADITYA M. SCINDIA)

(a): No, Madam.

The extant Foreign Direct Investment (FDI) policy, as contained in ‘Circular 2 of 2011- Consolidated FDI Policy’ issued by Department of Industrial Policy & Promotion is as under:

Sector/Activity	% of FDI Cap/ Equity	Entry Route
FM (FM Radio)	26% (FDI, NRI & PIO investments	Government	and portfolio investment)
Construction Development	100%	Automatic
(including old age homes
and educational
institutions)
Defence	26%	Government