As per the policy applicable in 2017, how much Foreign Direct Investment (FDI) is permitted in the defence sector in India ?

Options

A. 49 per cent through the automatic route
B. 26 per cent through the government route
C. 26 per cent through the automatic route and beyond that up to 49 per cent through the government route
D. 75 per cent through the automatic route

Answer

A

Explanation

As per the extant FDI policy, foreign investment up to 49% is permitted under the automatic route. Foreign investment beyond 49% and upto 100% is permitted through Government approval.