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India: Deregulation to encourage foreign investment

Jan 5, 2018

India has further liberalised its foreign direct investment policy to attract investment in key sectors, including single-brand retail trading, construction development and civil aviation. The investment thresholds below which specific approval is not required from the government are to be increased, and equity shares can now be issued against non-cash consideration, such as pre-incorporation expenses and the import of machinery. The changes are expected to be effective immediately.