Govt opens FDI route through partly paid shares

The move will provide an easier route to foreign players to invest in India, as they would not have to wait for the Government's permission for raising money.

Government has permitted foreign investments through partly paid shares and warrants to facilitate FDI in the country, according to reports.

“The government has reviewed the provisions of the extant FDI policy,” the Department of Industrial Policy and Promotion (DIPP) said in a notification.

DIPP also reportedly said that the nature of these instruments are also of equity and the move would help in attracting FDI.

DIPP also clarified that the facility sharing agreements within two group companies will not be treated as real estate business.