Introduction
The Department for Promotion of Industry and Internal Trade
(DPIIT) on 28 October 2020, has issued the consolidated Foreign
Direct Investment (FDI) policy circular of 2020 (Revised Policy).
The DPIIT has released an updated consolidated FDI policy after a
long gap of 3 years since the last one was which was issued on 28
August 2017.
Key changes
The Revised Policy is aligned with the Implementation of the
Foreign Exchange Management (Non-debt Instruments) Rules, 2019 (NDI
Rules) and Foreign Exchange Management (Mode of Payment and
Reporting of Non-Debt Instruments) Regulations, 2019 by
incorporating all necessary changes, including procedural
instructions on payment of inward remittance and reporting
requirements. This Revised Policy supersedes all the press notes,
press releases, clarifications and/or circulars issued by the
DPIIT, which were in force as on 15 October 2020. This makes
the Revised Policy a 'ready reckoner' to understand the
Indian
