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'INDIA TO EASE FDI RULES FOR DEFENCE FIRMS'
Hindustan Times Ludhiana
|January 17, 2026
India plans to make it much easier for foreign firms to invest in defence companies, two government sources with knowledge of the matter said—a move that would align with efforts to boost domestic manufacturing after last year’s conflict with Pakistan.
The cap on foreign direct investment in defence firms with existing licences under the so-called automatic route, where government approval is not required, is set to be raised to 74% from the current 49%, the sources said.
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