ARTICLE · 21 SEPTEMBER 2015

Recent Changes In FDI Regime For Indian Realty

ZEUS Law Associates

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Significant changes have recently been made to the Foreign Direct Investment (FDI) regime governing India's cash-starved realty sector, which has been witnessing declining FDI inflows.

IndiaGovernment, Public Sector

Significant changes have recently been made to the Foreign Direct Investment (FDI) regime governing India's cash-starved realty sector, which has been witnessing declining FDI inflows. The declining amounts are $2.94 billion in 2009-10, $1.23 billion in 2010-11, $0.73 billion in 2011-12, $0.13 billion in 2012-13, and $.12 billion in 2013-14, according to data compiled by Department of Industrial Policy and Promotion (DIPP), Government of India. In its Cabinet Note in October, 2014, the Government of India proposed numerous amendments to the Consolidated FDI Policy, 2014 (FDI Policy), aimed at increasing inflows and opportunities for growth and employment. With the release of DIPP's Press Note No.10 on December 3, 2014, the final amendments to the FDI Policy have come into effect, and are analyzed in this article.

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