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FEMA

Sectoral Cap

The maximum percentage of FDI permitted in various sectors of the Indian economy as prescribed under the Consolidated FDI Policy. Sectors like insurance (74%), defence (74%), and banking (74%) have specific sectoral caps.

Last updated: 17 May 2026

Frequently Asked Questions

What is Sectoral Cap?

The maximum percentage of FDI permitted in various sectors of the Indian economy as prescribed under the Consolidated FDI Policy. Sectors like insurance (74%), defence (74%), and banking (74%) have specific sectoral caps.

What is the significance of Sectoral Cap under FEMA?

Sectoral Cap is significant under FEMA because The maximum percentage of FDI permitted in various sectors of the Indian economy as prescribed under the Consolidated FDI Policy. Sectors like insurance (74%), defence (74%), and banking (74%) have specific sectoral caps.

Who does Sectoral Cap apply to?

Sectoral Cap under FEMA applies to companies, professionals, and individuals involved in FEMA-related compliance and regulatory matters in India. Specifically: The maximum percentage of FDI permitted in various sectors of the Indian economy as prescribed under the Consolidated FDI Policy. Sectors like insuran...

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