A Non-Resident Indian X in USA wants to invest in a Central Public Sector Enterprise in India producing uranium. Whether X can do so ?
CS Professional · Secretarial Audit, Compliance Management and Due Diligence · PYQS · June 2019
A Non-Resident Indian X in USA wants to invest in a Central Public Sector Enterprise in India producing uranium. Whether X can do so ?
Answer & Explanation:
In the instant case, a non-resident Indian X in USA cannot invest in a Central Public Sector Enterprise in India producing uranium because it falls under point (viii) above i.e. investment in private sector like Atomic Energy is not open as per FDI policy in India. Since Uranium is used in the production of Atomic energy, a foreign national is prohibited from investing in any unit which is engaged in the production of any product used for Atomic energy.
Topics: Foreign Direct Investment (FDI) Policy
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