Foreign Direct Investment (FDI)

Investment can be in domestic currency or in foreign currency (will be converted into domestic currency ultimately).

Investment in foreign currency -

1. Direct Investment (FDI)
2. Indirect Investment (FII)

Sector	FDI Allowed
Asset Reconstruction Company	74%(FDI+FII)
Wholesale	100% (FDI)
Single Brand Retail	100% (FDI)
Multi-brand Retail	51% (FDI)

Department of Industrial Policy and Promotion (DIPP) under Ministry of Commerce and Industry is the nodal agency regarding FDI.
Foreign Investment Promotion Board (FIPB) can clear investment applications up to Rs. 1200 crores after which it has to be CCEA. Govt. set up this to speed of FDI clearance.
Govt. had relaxed the mandatory 30% local sourcing clause in September.

Top sources for FDI

1. Mauritius
2. Singapore
3. UK
4. The Nederlands

Top sectors receiving FDI

1. Services 
2. Automobiles
3. Pharma
4. Construction Development