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Press Information Bureau
Government of India
Ministry of Defence
15-July-2014 13:18 IST
Security Implications of FDI in Defence Sector

No data relating to names of the countries which have allowed 100% FDI in their respective Defence sector is available / maintained in the Ministry of Defence.

In the Union Budget 2014-15, it has been announced that the composite cap of foreign exchange is being revised to 49% with full Indian management and control through FIPB route for defence sector.

Since defence companies having foreign investment will have Indian management and control and foreign investment in such companies will be approved through FIPB route, security concerns are duly taken care of. Besides, the Government has also finalized and put in public domain a Security Manual for private sector defence manufacturing units.

This information was given by Defence Minister Shri Arun Jaitley in a written reply to Dr. Bhalchandra Mungekar in Rajya Sabha today.

DM/HH/RAJ