Foreign Direct Investment (FDI) policy in India

Jun 1
06:58

2013

Ankit Jain1

Ankit Jain1

  • Share this article on Facebook
  • Share this article on Twitter
  • Share this article on Linkedin

It’s important that we be 100 % sure before we plan for any of our new step, in fact it would be wisest if we cover all at the various ‘ifs and buts’ before making a final move according to the sam...

mediaimage

It’s important that we be 100 % sure before we plan for any of our new step,Foreign Direct Investment (FDI) policy in India   Articles in fact it would be wisest if we cover all at the various ‘ifs and buts’ before making a final move according to the same. More importantly coming up with new business ideas is one of those few areas were every person should be more than sure before they are even trying to hit their score.

Don’t worry as we are not discouraging you if you are planning to start something new of your own, all we are trying to convey is that do cover all the aspects of the same including few very neglected areas as well like FDI Policy and more. To start up with further explanations these FDI Policy or also known as foreign direct investments policy are more related to direct investment into production or business by a company in another country and the same process can be easily carried in any manner either by buying a company in targeted country or by expanding the operations.

Now before you plan on getting details related to company registration procedure, let us cover few more very important facts related to this particular term. According to what has been mentioned in books this particular form of investment known as foreign direct investment has many forms which should be understood well enough before making a start. For example mergers and acquisition, reinvesting the profits earned overseas are only few methods which are involved in this.

Now to add a little more a foreign direct investor can work in various ways to reach towards their task and goals for example they can own a company wholly or they can even acquire a present of shares which can provided them authority to make decisions. A merger or acquisition is one more method which can be taken intro consideration while considering this form of working. All in all it’s not all about Company Registration in India, rather a lot more should be well understood before they finalize which method they are planning to use.

Finally before we end with this conversation of our, let’s check out few more facts which are stated in books related to the same. According to books this foreign investment procedure was introduced in India in the year 1991 under the heading foreign exchange management act which is taken care of by finance minister Manmohan singh.