Draft foreign investment rules rationalise FDI and FPI thresholds
01 Jul, 2026

Draft foreign investment rules rationalise FDI and FPI thresholds

Unit 5 — Mathematical Reasoning and Aptitude Unit 10 — Higher Education System

What Happened?

The draft rules define FDI as foreign investment of 10% or more in the equity of a company or LLP, with investments below the threshold treated as FPI. They also seek to reorganise the framework governing equity investment by persons resident outside India.

Premium Content Locked

Unlock this explanation, Paper 1 mapping, and MCQs by upgrading your plan.

Unlock Premium