Sweden’s Saab reportedly became the first foreign company to receive 100% FDI in India’s defence projects. Sweden’s Saab will establish a new facility in the country that will look to manufacture shoulder-fired rockets.
At present, India allows only 74% FDI in the defence sector. In 2015, the clearance rules were relaxed, no foreign firm was able to obtain permission for 100% FDI in defence.
FDI in Defense
- During the April and September period in FY 2023, India acquired foreign direct investment (FDI) worth $3.21 million in defence industries.
- The sector received $2.36 million in foreign investment in 2021-22, $0.63 million in 2020-21, $2.20 million in 2019-20, $2.18 million in 2018-19 and $0.01 million in 2017-18.
Also Read –