FDI LIMIT INCREASE
FDI up 15 pc to USD 18.62 bn in Apr-June FY26; inflow from US triples
Foreign Direct Investment in India increased by 15 percent, reaching 18.62 billion US dollars during April to June. The United States became the largest investor, contributing 5.61 billion US dollars. Karnataka received the highest inflow of investments. The government has implemented investor-friendly policies and reforms across various sectors. These reforms aim to liberalize FDI norms and attract more overseas investments.
Govt issues notification for fast pacing 100% FDI in insurance
The finance ministry has issued a notification to facilitate 100% foreign investment in the insurance sector, pending parliamentary approval. The amendment replaces the existing 74% limit with provisions stipulated by the Insurance Act, 1938, allowing foreign investment through the automatic route, subject to IRDAI verification. This move aims to unlock the sector's potential and boost its projected 7.1% annual growth.
A forward-looking defence acquisition policy can unlock foreign tech transfer and investments
India is set to collaborate with France's Safran for indigenous jet engine development, aligning with the nation's self-reliance push in defense. A review of the Defence Acquisition Procedure 2020 is underway to address inefficiencies and attract foreign technology transfer. Policy shifts aim to boost local manufacturing and exports, but stakeholder interests and FDI inflows remain key challenges.
PM Modi's balancing act: Wooing Japan, resetting China ties, and navigating Trump's tariffs
Prime Minister Narendra Modi is embarking on a high-stakes Asia tour covering Japan, China, and Russia as India deals with the U.S. President Donald Trump’s steep tariffs. Japan will be the centrepiece, with new investments and tech partnerships in focus. Modi will then attend the SCO summit in China, testing a fragile reset with President Xi, before meeting Russia’s Vladimir Putin to strengthen energy and strategic ties, highlighting India’s balancing act in a shifting world.
ET WLF 2025: Atmanirbhar & Armed, India eyes global defence export leadership, says Rajnath Singh
Defence Minister Rajnath Singh emphasized India's commitment to self-reliance in defence, aiming to become a global supplier of high-quality products. Defence exports have surged nearly 35 times in the last decade, reaching ₹23,622 crore in FY25, with a target of ₹50,000 crore by 2029.
India’s digital edge, China’s manufacturing, Russia’s energy: A new axis of global growth
Prime Minister Modi's upcoming visit to China after seven years signals a potential strategic shift, fostering a new economic partnership with China and Russia. This triad, boasting a significant portion of global GDP, exports, and reserves, aims to reshape trade routes and challenge the dollar's dominance.
- Go To Page 1
Independence Day 2025: PM Modi's full speech
Prime Minister Modi addressed the nation on the 79th Independence Day, highlighting India's progress towards self-reliance and development. He emphasized achievements in sectors like defense, technology, and energy, while also addressing challenges such as terrorism and demographic changes.
Raising FDI limit for insurers to 100% will generate employment opportunities: FM Nirmala Sitharaman
Finance Minister Nirmala Sitharaman informed Parliament that raising the FDI limit in Indian insurance companies to 100% would attract more players, generate jobs, and enhance efficiency through improved technologies. The Insurance Act, 1938, along with IRDAI oversight, ensures financial stability, policyholder protection, and transparency within the sector. Cooperative banks now have extended director tenures, effective August 1, 2025.
Independence Day 2025: Tryst with growth — India’s economic journey from Nehru to now
India's economic journey since 1947 is a story of transformation. It began with Nehru's socialist vision. Reforms in 1991 led to rapid growth. The services sector boomed, making India a global outsourcing hub. Today, India is the fastest-growing major economy. Initiatives like Digital India and GST are shaping its future. The goal is to become a developed nation by 2047.
Parliament watch: FDI to unlock insurance potential; finance ministry talks about GST plans
Nirmala Sitharaman told the Lok Sabha about allowing 100% FDI in insurance. This move aims to unlock the sector's potential and enhance coverage. The government projects a 7.1% annual growth for the insurance sector. Raising the FDI limit eliminates the need for foreign players to find Indian partners. This will attract investment, enhance competition, and improve insurance penetration in India.
Raising FDI limit in insurance aimed at unlocking full potential of sector: FM Sitharaman
Finance Minister Nirmala Sitharaman told Parliament that raising the FDI limit in the insurance sector to 100% will boost annual growth to 7.1%, attract stable foreign investment, and improve insurance penetration. The move simplifies foreign entry by removing the need for Indian partners. Efforts are also underway to expand coverage under key social security schemes through grassroots campaigns.
RBI monetary panel member sees no challenges in Indian economy growing over 6.5% in FY26
The Indian economy is showing strong growth and is expected to exceed 6.5 percent this financial year. Nagesh Kumar from RBI highlights India as a bright spot globally, driven by domestic factors. Inflation is within the target range, influencing potential rate cuts. India is negotiating a trade agreement with the US, focusing on labor-intensive sectors.
Top tech and startup stories this week
Welcome to a new edition of ETtech Unwrapped – our weekend newsletter packed with the most important stories this week. Let’s take a look.
Eternal delivers mixed Q1; Reliance's qcomm gameplan
Blinkit's boost in June quarter revenue could not prevent the profit nosedive of Zomato's parent company. This and more in today's ETtech Top 5.
Raghuram Rajan warns India to tread 'cleverly & carefully' in US trade talks
Raghuram Rajan advises India to be cautious in trade negotiations with the US, particularly in agriculture, due to the risk of subsidized foreign produce harming local farmers. He suggests exploring FDI to enhance value addition in sectors like dairy instead of import concessions. While acknowledging protectionist measures, Rajan sees opportunities for India in the changing global trade landscape.
The impossible trinity of dollar weakness, subdued crude oil price & INR depreciation
In 2025, the Indian Rupee is expected to weaken slightly against the US dollar. This happens despite lower dollar and oil prices. Muted capital inflows and risk aversion are the main reasons. The Reserve Bank of India's reduced intervention also plays a role. While India's fundamentals are strong, the USDINR is projected to reach 86.50–87.00 by March 2026.
FDI hike in PSBs hinges on RBI review of voting, shareholding norms
The government will decide on increasing foreign investment in public sector banks after the Reserve Bank of India reviews voting rights. Current rules limit foreign investment to 20%. The RBI is reviewing shareholding limits for private banks too. India allows 74% foreign investment in private banks. The government hopes for a strategic sale in IDBI Bank by October.
ETtech Explainer: Why Blinkit is shifting to an inventory-led model
Blinkit is transitioning to an inventory-led model as planned after its parent Eternal became an Indian-owned and controlled company (IOCC) in April. The Gurugram-based quick commerce platform has asked its sellers to switch to a new system where the company will now buy the inventory from them, instead of just storing it in its warehouses for them.
ETMarkets Smart Talk: Fixed income attractive with rate cuts ahead; 20–40% allocation advisable for risk hedge, says Tanvi Kanchan
Amidst market volatility, Anand Rathi's Tanvi Kanchan suggests a 20%-40% fixed income allocation for portfolio stability. She anticipates a stock-specific market in FY26, driven by earnings and domestic demand, with sectors like banking and infrastructure poised for growth. While small and midcaps show improved profitability, careful stock selection remains crucial for investors.
Private capital crucial for sustainable development: FM Nirmala Sitharaman
Finance Minister Nirmala Sitharaman emphasized the critical role of private capital in achieving sustainable development at the International Business Forum in Spain. She highlighted the need to overcome investment barriers in low- and middle-income countries and advocated for reforms in international credit rating methodologies to better reflect the strengths of emerging economies.
Union Budget 2025: Government proposes 100% FDI in insurance sector
According to industry insiders, this move can help spawn new insurance companies and bolster existing insurance firms. Insurance distribution, where a large number of well-funded startups are operating, will have the choice of more partners and better technologically equipped players with global funding.
Budget 2025: Insurance stocks SBI Life, HDFC Life and others gain over 3% on increase in FDI limit
Finance Minister Nirmala Sitharaman announced raising the FDI limit in the insurance sector from 74% to 100%, boosting shares of major insurers like HDFC Life and SBI Life. The move aims to attract more foreign investments, support the rupee, and enhance insurance penetration in India. Experts believe it will foster innovation and improve risk management in the sector.
Raise FDI in defence sector: Naresh Chandra panel
Naresh Chandra panel has said it would attract foreign vendors to offer their latest technologies for manufacturing military hardware in the country.
Indian, foreign industries divided over raising FDI cap: CII
Indian and foreign industries in defence sector are divided over raising the Foreign Direct Investment (FDI) to 100 per cent, a survey has found.
FDI limit in defence needs to be increased to 49%: Assocham
The foreign direct investment limit in the defence sector needs to be increased to 49 per cent from the current 26 per cent to facilitate the flow of investment and technological know-how.
India should increase FDI limit in defence: UK
Britain on Friday suggested that India should raise its Foreign Direct Investment (FDI) limit in defence sector up to 49 per cent.
Load More
