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Explore the permitted sectors and activities for Foreign Direct Investment (FDI) in India as outlined in the Consolidated FDI Policy 2020. Learn FDI caps, entry routes, and key regulations.

Permitted Sectors / Activities For FDI in India as per Consolidated FDI Policy 2020

Article explains Sector wise permitted FDI in India with Percentage upto which FDI is permitted and Route.

SR. NO NAME OF THE SECTOR % of Equity/

FDI Cap

Entry Route
1 AGRICULTURE & ANIMAL HUSBANDRY 100 Automatic Route
2 PLANTATION SECTOR 100 Automatic Route
3 MINING-Mining and Exploration of metal and non-metal ores

MINING-Coal & Lignite

100 Automatic Route
4 PETROLEUM & NATURAL GAS 100 Automatic Route
5 MANUFACTURING 100 Automatic Route
6 DEFENCE 100 Automatic up to 74% Government route beyond 74% wherever it is likely to result in access to modern technology or for other reasons to be recorded
7 BROADCASTING- BROADCASTING CARRIAGE SERVICES 100 Automatic
8 BROADCASTING- BROADCASTING CONTENT SERVICES 26-100 Automatic Route / Government Route
9 PRINT MEDIA 26 Government
10 CIVIL AVIATION- AIRPORTS 100 Automatic Route
11 CIVIL AVIATION- AIR TRANSPORT SERVICES 49-100 Automatic up to 49% (Automatic up to 100% for NRIs)
12 OTHER SERVICES UNDER CIVIL AVIATION SECTOR 100 Automatic
13 CONSTRUCTION DEVELOPMENT: TOWNSHIPS, HOUSING, BUILT-UP INFRASTRUCTURE 100 Automatic
14 INDUSTRIAL PARKS 100 Automatic
15 SATELLITES- ESTABLISHMENT AND OPERATION 100 Government
16 PRIVATE SECURITY AGENCIES 74 Automatic up to 49% Government route beyond 49% and up to 74%
17 TELECOM SERVICES 100 Automatic up to 49% Government route beyond 49%
18 TRADING 100 Automatic
19 E-COMMERCE ACTIVITIES 100 Automatic
20 SINGLE BRAND PRODUCT RETAIL TRADING 100 Automatic
21 MULTI BRAND RETAIL TRADING 51 Government
22 DUTY FREE SHOPS

Duty Free Shops would mean shops set up in custom bonded area at International Airports/International Seaports and Land Custom Stations where there is transit of international passengers

100 Automatic
23 RAILWAY INFRASTRUCTURE 100 Automatic
24 ASSET RECONSTRUCTION COMPANIES

‘Asset Reconstruction Company’ (ARC) means a company registered with the Reserve Bank of India under Section 3 of the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 (SARFAESI Act)

100 Automatic
25 BANKING- PRIVATE SECTOR 74 Automatic up to 49% Government route beyond 49% and up to 74%.
26 BANKING- PUBLIC SECTOR 20 Government
27 CREDIT INFORMATION COMPANIES (CIC) 100 Automatic
28 INFRASTRUCTURE COMPANY IN THE SECURITIES MARKET

Infrastructure companies in Securities Markets, namely, stock exchanges, commodity exchanges, depositories and clearing corporations, in compliance with SEBI Regulations

49 Automatic
29 INSURANCE company 49 Automatic
30 Intermediaries or Insurance Intermediaries

including insurance brokers, re-insurance brokers, insurance consultants, corporate agents, third party administrator, Surveyors and Loss Assessors and such other entities, as may be notified by the Insurance Regulatory and Development Authority of India from time to time.

100 Automatic
31 PENSION SECTOR 49 Automatic
32 POWER EXCHANGES Power Exchanges registered under the Central Electricity Regulatory Commission (Power Market) Regulations, 2010. 49 Automatic
33 WHITE LABEL ATM OPERATIONS 100 Automatic
34 OTHER FINANCIAL SERVICES

Financial Services activities regulated by financial sector regulators, viz., RBI, SEBI, IRDA, PFRDA, NHB or any other financial sector regulator as may be notified by the Government of India.

100 Automatic
35 PHARMACEUTICALS- Greenfield 100 Automatic
36 PHARMACEUTICALS -Brownfield 100 Automatic up to 74% Government route beyond 74%

FOR MORE DETAIL PLEASE REFER: Consolidated FDI Policy 2020 Department for Promotion of Industry and Internal Trade

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