Economics · FDI Reforms
Evaluate the following three statements concerning the Foreign Direct Investment (FDI) reforms introduced in India since 1991: Statement A: The initial phase saw the establishment of a Negative List approach where FDI was automatically approved in all sectors except those explicitly listed. Statement B: The shift from FEMA 1999 back to the earlier FERA 1973 liberalized FDI regulations. Statement C: Sectors under 100 percent Automatic Route still mandatorily require prior approval from the administrative ministry before any investment. Which of these statements is/are correct?
- 1Only Statement A is correct.
- 2Only Statement A and Statement B are correct.
- 3Only Statement C is correct.
- 4None of the statements are correct.✓
Correct answer
None of the statements are correct.
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