2018 · Q67
As per the extant policy, Foreign Direct Investment is permitted in the defence sector under the automatic route up to which one of the following limits?
General KnowledgeIndian Economy
- A26 percent
- B74 percent
- C51 percent
- D49 percent
Explanation
Under the extant FDI policy for the defence sector, foreign investment up to 49% is permitted under the automatic route. Proposals beyond 49% (up to 100%) require government approval and are considered where they bring modern technology. Since the question asks the automatic-route ceiling, 49% is the correct figure, not 26%, 51% or 75%.