Skip to main content
FEMA

Foreign Direct Investment

Investment by a non-resident entity or person in an Indian company through equity shares, convertible debentures, or mandatorily convertible preference shares under the FDI Policy and FEMA. Permitted through automatic route or government route depending on sector.

Last updated: 17 May 2026

Frequently Asked Questions

What is Foreign Direct Investment?

Investment by a non-resident entity or person in an Indian company through equity shares, convertible debentures, or mandatorily convertible preference shares under the FDI Policy and FEMA. Permitted through automatic route or government route depending on sector.

What is the significance of Foreign Direct Investment under FEMA?

Foreign Direct Investment is significant under FEMA because it refers to: Investment by a non-resident entity or person in an Indian company through equity shares, convertible debentures, or mandatorily convertible preference shares under the FDI Policy and FEMA. Permitted through automatic route or government route depending on sector.

Who does Foreign Direct Investment apply to?

Foreign Direct Investment under FEMA applies to companies, professionals, and individuals involved in FEMA-related compliance and regulatory matters in India. Specifically: Investment by a non-resident entity or person in an Indian company through equity shares, convertible debentures, or mandatorily convertible preferenc...

Related Updates

Related Searches

FDI full formFDI meaning Indiaforeign direct investment FEMAFDI policy India