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Relaxation in FDI Policy for Single Brand Retail Trading Sector (SBRT)

Dear Reader,

Foreign Direct Investment (“FDI”) up to 100%  is allowed in single brand retail trade (“SBRT”) sector. FDI up to 49% is allowed under the automatic route and FDI in excess of 49 percent requires prior government approval. Furthermore, companies engaged in SBRT sector with more than 51 percent FDI are required to locally source at least 30 percent of the value of the goods purchased by them. New FDI  policy 2017 has relaxed such sourcing norms for SBRT which are summarized in this updates.

 

KMS_FEMA Updates_changes in FDI Policy for Single Brand Retail Trading Sector