India formally allows foreign investment from Pakistan

[SamranAli]

there is no security in india for our investment.

 

[Bhairava]

The route has been cleared for Dawood bhai to legally invest in India.

 

[ajtr]

Review of the Foreign Direct Investment policy - permitting investments from Pakistan.

1.0 Present Position:

1.1 As per paragraph 3.1.1 of Circular 1 of 2012- Consolidated FDI Policy', effective from 10.04.2012, investment from a citizen of Pakistan or an entity incorporated in Pakistan is not permitted.

2.0 Revised Position:

2.1 The Government of India has reviewed the policy, as contained in paragraph 3.1.1 of the circular ibid and decided to permit a citizen of Pakistan or an entity incorporated in Pakistan to make investments in India, under the Government route, in sectors/activities other than defence, space and atomic energy.

3.0 Amendment to paragraph 3.1.1:

3.1 Accordingly, Paragraph 3.1.1 of Circular 1 of 2012- Consolidated FDI Policy', effective from 10.4.2012, is amended to read as below:

"3.1.1 A non-resident entity can invest in India, subject to the FDI Policy. A citizen of Bangladesh or an entity incorporated in Bangladesh can invest only under the Government route. A citizen of Pakistan or an entity incorporated in Pakistan can invest, only under the Government route, in sectors/activities other than defence, space and atomic energy."

4.0 The above decision will take immediate effect.


Dept. of Industrial Policy & Promotion, Ministry of Commerce & Industry

New Delhi: August 1, 2012

DS/GK

 

[Eureka]

Well this is a mind game by GOI,Pakistan will get benefit from this but the lion share will go to India