Q. What is the limit of FDI in Defence sector, under automatic route? Answer:
74%
Notes: The Finance Ministry has now permitted foreign direct investment (FDI) in the Defence sector up to 74 per cent under the automatic route. The Ministry has notified the changes required to FEMA (Non-Debt Instruments) rules regarding this announcement. In September, the Commerce and Industry Ministry had raised the FDI limit for the Defence sector through the automatic route to 74 per cent from 49 per cent.