To attract foreign manufacturers to invest in India, a group of ministers is considering a proposal to raise Foreign Direct Investment limit in the defence sector to 49 per cent from the current 26 per cent.The Defence Ministry today said the proposal mooted by the Commerce Ministry would also help the domestic industry to grow.
“The Ministry has proposed that the FDI limit should be increased to 49 per cent. That proposal was received by our Ministry and it is under discussion by a group of ministers,” Secretary Defence Production Rajkumar Singh said here.
“It is not a proper EGoM or a GoM. It is a group of only two-three ministers,” Singh said. He, however, declined to name the ministers.