Lok Sabha Question No. 2452 (UNSTARRED), answered on 2024-08-06
Subject: Foreign Direct Investment Inflows
Ministry: COMMERCE AND INDUSTRY
Asked by: Shri Haribhai Patel

## GOVERNMENT OF INDIA MINISTRY OF COMMERCE & INDUSTRY DEPARTMENT FOR PROMOTION OF INDUSTRY AND INTERNAL TRADE

## LOK SABHA

UNSTARRED QUESTION NO. 2452. TO BE ANSWERED ON TUESDAY, THE 06 TH  AUGUST, 2024.

## FOREIGN DIRECT INVESTMENT INFLOWS

## 2452.  SHRI HARIBHAI PATEL:

## Will the Minister of COMMERCE AND INDUSTRY be pleased to state: वाणिज्य एवं उद्योग मंत्री

- (a) whether the Government has taken adequate steps to invigorate Foreign Direct Investment (FDI) inflows in the country;
- (b) if  so,  the  details  thereof  along  with  measures  taken  by  the  Government  to amplify the investments and to captivate industrial activities in Gujarat;
- (c) whether the Government has been successful in its attempt to ensure seamless investor-related clearances measures, as envisaged during the launch of the National Single Window System (NSWS) portal; and
- (d) if so, the details thereof?

## ANSWER

## वाणिज्य एवं उद्योग मंत्रालय में राज्य मंत्री ( श्री णिणिन प्रसाद ) THE MINISTER OF STATE IN THE MINISTRY OF COMMERCE & INDUSTRY (SHRI JITIN PRASADA)

- (a): To invigorate Foreign Direct Investment (FDI), the Government has put in place an investor friendly policy, wherein most sectors, except certain strategically important sectors, are open for 100% FDI under the automatic route. more than 90% of the FDI inflow is received under the automatic route. India continues to  open  up  its  economy  to  global  investors  by  raising  FDI  limits,  removing regulatory  barriers,  developing  infrastructure  and  improving  the  business environment. Further, to ensure that India remains an attractive and investor friendly destination, the Government reviews FDI policy on an ongoing basis and makes changes from time to time after having intensive consultations with stakeholders including apex industry chambers, Associations, representatives of  industries/groups  and  other  organizations  taking  into  consideration  their views/comments.
- (b): The Government of India has undertaken a number of steps to improve Ease of Doing Business in India including for Gujarat. In addition to ongoing schemes of various Ministries and Departments, the Government has taken various steps for promotion and facilitation of setting up of  industries across State/UTs such as Make in India, Startup India, PM Gati Shakti, National Infrastructure Pipeline

(NIP),  National  Industrial  Corridor  Programme,  Production  Linked  Incentive (PLI)  Scheme,  promoting  Ease  of  Doing  Business  (EoDB)  and  reducing compliance burden, National Single Window System (NSWS), India Industrial Land Bank, Project Monitoring Group (PMG), liberalization of Foreign Direct Investment (FDI) policy, Indian Footwear and Leather Development Programme (IFLDP) Scheme, etc. With the objective to improve Ease of Doing Business and Ease of Living, the Government has taken initiatives to Simplify, Rationalize, Digitize, and Decriminalize Government to Business and Citizen Interface across all the States/UTs. So far, more than 42,000 compliances have been reduced and more than 3800 provisions have been decriminalized.

- (c) & (d): The Foreign Investment Facilitation Portal has been integrated with the National Single Window System (NSWS) since 5 August, 2022 and the FDI proposals require government approval to be filed on NSWS portal. This portal facilitates the  single  window  clearance  of  applications  which  require  Government approval.  The  FDI  application  form  has  recently  been  simplified  to  reduce compliance burden and facilitate ease of doing business for foreign investors. The  Government  has  been  successful  in  its  attempt  to  ensure  seamless investor-  related  clearances  through  the  NSWS  portal.  The  integration  of multiple approval systems, the significant number of approvals processed, and the continuous enhancement of the platform underscore its effectiveness and the government's commitment to promoting a business-friendly environment in India.

*********