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of <h1>India Liberalizes FDI Policy: 100% Automatic Route for SEZ Manufacturing; Telecom and Royalty Payments Conditions Apply.</h1> The Government of India has revised its Foreign Direct Investment (FDI) policy to further liberalize the regime. FDI up to 100% is permitted through the automatic route for manufacturing activities in Special Economic Zones (SEZs), excluding certain sectors like defense and tobacco. In the telecom sector, 100% FDI is allowed for specific services, with conditions such as divesting 26% equity to the Indian public within five years if listed abroad. Royalty payments on trademarks and brand names are permitted under the automatic route. Offshore Venture Capital Funds can invest in domestic ventures, adhering to SEBI regulations and sector-specific FDI caps.
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