FDI push: ₹4,896 cr across 29 projects; India allows 10% Chinese stake

The Indian government reported 29 foreign direct investment projects worth nearly ₹4,900 crore under a revised framework. This policy allows companies with up to 10% Chinese ownership to invest via the automatic route without prior government approval.
Why it matters
This policy shift aims to streamline foreign investment and improve the ease of doing business in India while maintaining regulatory oversight.
A total of 29 foreign direct investment (FDI) projects worth ₹4,895.65 crore have been reported to the government under its revised framework, which allows companies with up to 10% Chinese ownership to invest through the automatic route, the Ministry of Commerce and Industry said on Friday.
In March 2026, the government amended Press Note 3 of 2020. Without specifically naming any country, the original framework required government approval for foreign direct investment (FDI) from countries sharing a land border with India. Among India’s neighbouring countries, China is the largest source of investment.
Under the March 2026 amendment, companies with up to 10% ownership by an entity based in a land-border country (LBC) can invest through the automatic route, without requiring prior government approval.
Get smarter about the news
Sign up free for a feed built around what you actually care about, Dive Deeper research on any story, and the full text of every article.
Create free accountAlready have an account? Sign in