The modified FDI policy is aimed at “suppressing opportunistic takeovers/acquisitions of Indian business due to the current COVID-19 pandemic,” said a press release from the Department for Promotion of Industry and Internal Trade on Saturday. People’s Bank of China selects up 1%stake in HDFC
‘ With land borders’
” A non-resident entity can invest in India, subject to the FDI Policy other than in those sectors/activities which are restricted,” says the new policy.
India shares land borders with Pakistan, Afghanistan, China, Nepal, Bhutan, Bangladesh and Myanmar.
New FDI guidelines might have unexpected effects
The main statement added that a transfer of ownership of any existing or future FDI in an