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of <h1>RBI Updates Foreign Investment Rules: Key Sectors and Entry Routes Defined in Eighteenth Amendment to 2016 Regulations.</h1> The Reserve Bank of India issued the Eighteenth Amendment to the Foreign Exchange Management Regulations, 2016, concerning foreign investment in India. The amendment outlines specific sectors and activities eligible for foreign investment, specifying caps and entry routes. Key sectors include agriculture, manufacturing, defense, broadcasting, civil aviation, retail trading, and pharmaceuticals. The regulations allow 100% foreign investment in many sectors under the automatic route, with certain conditions requiring government approval. Specific guidelines are provided for single-brand retail trading, defense, and pharmaceuticals, emphasizing compliance with local sourcing and operational conditions. These amendments aim to streamline foreign investment processes and enhance sectoral growth.
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