New Delhi, March 11 -- The Union Cabinet, chaired by Prime Minister Narendra Modi, has relaxed foreign direct investment (FDI) rules for companies from China and other countries which share land borders with India.
An official statement said that the change in FDI rules is aimed at unlocking greater FDI inflows from global funds for startups and deep techs.
Citing opportunistic takeovers of Indian companies due to Covid pandemic, the government had in 2020 changed FDI rules so that companies or investors from countries sharing a land border with India can invest only with prior government approval. The move was largely seen as the one targeted at China.
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