The new Finance Minister has said that the Ministry is working on a policy document for further liberalisation of the foreign investment policy. The key amendments we can expect out of this policy change are likely to be:
1. Composite cap for all types of investments including FDI, FII, NRI and others.
2. Opening up most sectors like railways, ecommerce etc (other than strategic sectors) to foreign investment upto 49% under the automatic route. Defence could benefit too.
3. Categorisation of sectors based on National Industrial Code to ensure clarity.