Review of the Foreign Direct Investment policy - permitting investments from Pakistan. - FEMA - Press Note No.3 (2012 Series)

Government of India Ministry of Commerce Industry Department of Industrial Policy Promotion (FC-I Section) Press Note No.3 (2012 Series) Subject: Review of the Foreign Direct Investment policy - permitting investments from Pakistan. 1.0 Present Position: 1.1 As per paragraph 3.1.1 of Circular 1 of 2012- Consolidated FDI Policy', effective from 10.04.2012 , investment from a citizen of Pakistan or an entity incorporated in Pakistan is not permitted. 2.0 Revised Position: 2.1 The Government of India has reviewed the policy, as contained in paragraph 3.1.1 of the circular ibid and decided to permit a citizen of Pakistan or an entity incorporated in Pakistan to make investments in India, under the Government route, in sectors/activities other than defence, space and atomic energy. 3.0 Amendment to paragraph 3.1.1: 3.1 Accordingly, Paragraph 3.1.1 of Circular 1 of 2012- Consolidated FDI Policy', effective from 10.4.2012 , is amended to read as below: "3.1.1 A non-resident entity can invest in India, subject to the FOI Policy. A citizen of Bangladesh or an entity incorporated in Bangladesh can invest only under the Government route. A citizen of Pakistan or an entity incorporated in Pakistan can invest, only under the Government route, in sectors/activities other than defence, space and atomic energy." 4.0 The above decision will take immediate effect. 0/0 IPP File No.: 5/10/2011-FC.1 dated: 1 st August, 2012 (Anjali Prasad) Joint Secretary to the Government of India