The Department of Industrial Policy and Promotion (DIPP), under the Ministry of Commerce and Industry, is planning to release the next edition of Consolidated Foreign Direct Investment (FDI) Policy Circular of 2017 soon. DIPP also said that the next edition of the consolidated FDI policy is scheduled to be issued this year, which would incorporate all the changes effected in FDI Policy post issue of Consolidated FDI Policy Circular of 2016 that is from June 7, 2016.
DIPP is the nodal agency on FDI policy and it compiles all policies related to India's FDI regime into a single document to make it simple and easy for investors to understand. Investors would otherwise have to go through various press notes issued by the industry department and RBI regulations to understand the policy. The government updates the policy every year.
For economic development, FDI is considered as essential component and the country has taken several steps to attract such funds. Last year, the government relaxed norms in about a dozen sectors including defence, civil aviation and single brand retail. During April-September of the current financial year, FDI inflows increased by 30 per cent to $21.62 billion as compared to $16.63 billion in the same period a year earlier.