What is the procedure of FDI in India?
FDI Reporting Requirements
Certificate from the Company Secretary of the company accepting investment from persons resident outside. Certificate from Statutory Auditors or Chartered Accountant indicating the manner of arriving at the price of the shares issued to the persons resident outside India.
How can I get FDI approval?
After submitting the online application to the Department for Promotion of Industry and Internal Trade (DPIIT), DPIIT would itself send an online communication to the applicant and ask him to forward a signed physical copy of the application along with duly authenticated copy of requisite documents to the Nodal …
What steps are necessary to ensure FDI inflows in India?
Transparent policy and enforcement of intellectual property rights, level of corruption, contract enforcement and tax regime are among the other important factors. Besides, cost competitiveness, availability of skilled labour force and business climate plays an important role in attracting FDI.
How is FDI done?
Foreign direct investments can be made in a variety of ways, including opening a subsidiary or associate company in a foreign country, acquiring a controlling interest in an existing foreign company, or by means of a merger or joint venture with a foreign company.
Who can make FDI in India?
Answer: Foreign Portfolio Investors (FPIs), Non-Resident Indians (NRIs), Overseas Citizens of India (OCIs), Foreign Central Banks, Multilateral Development Bank, Long term investors like Sovereign Wealth Funds (SWFs), Multilateral Agencies, Endowment Funds, Insurance Funds and Pension Funds which are registered with …
What is automatic route of FDI?
Foreign Direct Investments (FDI) can be made under two routes—Automatic Route and Government Route. Under the Automatic Route, the foreign investor or the Indian company does not require any approval from RBI or Government of India for the investment. … FDI Policy is formulated by the Government of India.
Which ministry looks after FDI?
The Foreign Investment Promotion Board (FIPB), housed in the Department of Economic Affairs, Ministry of Finance, is an inter-ministerial body, responsible for processing of FDI proposals and making recommendations for Government approval.
Who is eligible for FDI?
Foreign Direct Investment (FDI) is the investment through capital instruments by a person resident outside India (a) in an unlisted Indian company; or (b) in 10 percent or more of the post issue paid-up equity capital on a fully diluted basis of a listed Indian company.
What are the steps taken by the government to attract FDI?
In the recent years the Indian Government has taken special steps to attract foreign companies to invest in India: i The government has set up industrial zones called special Economic Zones SEZs. SEZs provide world class facilities – electricity water roads transport storage recreational and educational facilities.
How does FDI help Indian economy?
For Indian economy which has tremendous potential, FDI has had a positive impact. FDI inflow supplements domestic capital, as well as technology and skills of existing companies. It also helps to establish new companies. All of these contribute to economic growth of the Indian Economy.
Which step will promote FDI inflow in a country?
Foreign Direct Investment in Selected Countries, 2004
| Net Foreign Direct Investment | ||
|---|---|---|
| In percent of GDP | In billions of U.S. dollars | |
| Korea | 0.5 | 3.4 |
| Nepal | 0.5 | 0.0 |
| Indonesia | 0.4 | 1.1 |