Q. At present in which of the following sector/sectors 100% Foreign Direct Investment (FDI) is/are allowed?
1.Medical devices
2.Insurance
3.Pensions
Choose the correct answer from below given codes:

[A] 1 only

[B] 1 and 2 only

[C] 2 and 3 only

[D] 1, 2 and 3

Answer: A
Notes:

Explanation: The government said it will allow 100% FDI for medical devices manufacturing in India. All kinds of medical instruments, diagnostic tools and products, any technology and products including clinical implants were included in the category.

  • Recently, the Ministry of Finance amended Indian Insurance Companies (Foreign Investment) Rules, 2015 and clarified on the final rules for increased FDI (Foreign Direct Investment) in the Insurance Sector.
  • Parliament had passed the Insurance Amendment Bill 2021 to increase the FDI limit in the insurance sector to 74% from 49%.
  • The Ministry of Finance has notified ‘Indian Insurance Companies (Foreign Investment) Amendment Rules, 2021’.
  • The government notified a hike in the foreign direct investment (FDI) limit in pension fund management to 74% from 49% under the national pension system (NPS), opening doors for experienced foreign partners in this space and facilitating more competition in the fledgling segment.

Source: TMH Ramesh Singh