Rajya Sabha
ANSWERED ON 07.08.2013
Question: Will the Minister of DEFENCE be pleased to satate :-
(a) whether Government has decided to increase the FDI limit in Defence Industry;
(b) if so, the details thereof; and
(c) the expected benefits to the defence sector through this decision?
Answer: Minister of Defence (Shri A.K. Antony)
(a) & (b): FDI up to 26% is permissible in the defence sector, subject to licensing. However, wherever FDI beyond 26% is likely to result in access to modern and state-of-the-art technology into the country, decisions can be taken to allow higher FDI on a case-to-case basis with the approval of the Cabinet Committee on Security.
(c) It is difficult to assess at this stage the likely benefits to the Defence Sector.
Miscellaneous
Defence Economics & Industry