Other Briefings
Government Clarifies FDI Policy in Insurance Sector
In a press release yesterday the Department of Industrial Policy and Promotion (DIPP) clarified that the existing 26 percent cap on foreign investments in the insurance sector also applies to intermediaries such as brokers, third party administrators and surveyors. The official press release from the DIPP can be found here.
Tourists can Relax as India Eases Visa Regulations
Tourists traveling to India will now find their trips going much smoother. India has announced that it plans to ease visa requirements for up to 180 countries. The changes are expected to soon be officially approved by the country’s Planning Commission.
India in Talks with Mauritius and Cyprus to Prevent Tax Base Erosion
India is currently revisiting its double tax avoidance agreements (DTAAs) with both Mauritius and Cyprus as it takes measures to protect its tax base. The two tax havens are India’s largest and seventh-largest sources of FDI inflows, respectively, together comprising almost 45 percent of India’s FDI in 2013 (around US$10 billion in the financial year ended March 2013).
India Signs MoU to Boost Efficiency for Exporters in India
Jan. 10 – The Director General of Foreign Trade and the Enforcement Directorate signed a memorandum of understanding this week to allow for the sharing of foreign exchange realization data between exporters and relevant governmental departments in India. The new MoU will make mandatory the sharing of foreign exchange realization data through the e-BRC (Electronic […]
India Approves New Anti-Corruption Agency
Dec. 18 – India’s upper house of Parliament passed a measure Tuesday that will create a new independent anti-corruption agency with the broad authority to investigate senior politicians and other high-level allegations of corruption. The Lokayuktas Bill (Lokpal Bill) has been stalled in the upper house for more than two years since social activist Anna […]
India Struggles Forward with Prevention of Corruption
Dec. 2 – In a positive sign for doing business in India, a new anti-corruption bill is currently awaiting approval by the Indian parliament. The Prevention of Bribery of Foreign Public Officials and Officials of Public International Organizations Bill (Bill) seeks to amend the loopholes that existed within the original Prevention of Corruption Act (Act) […]
India’s Gold Dilemma
By Kavita Patel Nov. 25 – India’s voracious appetite for gold may be an obstacle to its economic growth. The subcontinent is the world’s leading consumer of gold but has almost no domestic supply. As rising income boosts demand, gold imports jumped from about 471 tons in 2001 to around 1,017 tons in 2012. Demand […]
2013 Changes in Indian FDI Policy
For foreign institutional investors (FII) and firms considering foreign direct investment (FDI), a familiarity with India’s recent changes in FDI policy is critical. Amendments made this year in Indian FDI policy impact a number of key business sectors, and in many instances eliminate the need for approval from the Indian Government before investing. Below, important amendments made to India’s foreign investment policy in 2013 are summarized.
