Foreign investment limits in defence revised to allow higher automatic clearance with government approval beyond set thresholds. A new proviso exempts a Multilateral Bank or Fund, of which India is a member, from being treated as an entity of any particular country or as having a country as beneficial owner of its investments in India. The Defence sector entry in Schedule 1 is replaced to permit full sectoral caps with foreign investment allowed under the automatic route up to a specified threshold and requiring Government route approval beyond that threshold for access to modern technology or other recorded reasons, subject to licensing, inter-ministerial consultation, security clearances, investee capability requirements, and national security review.