Guidelines for Proposal for FDIs in SEZs
In terms of the present guidelines, 100% FDI is permitted under automatic route in SEZs. However, as decided in the 31st meeting of the Board of Approvals held on 15.01.2009, the promoter shall ensure that his equity does not fall below 51%. Further, in case the promoter decides to decrease his shareholding below 51% then prior approval of BoA must be taken.
COMMERCE MINISTRY INSTRUCTION NO. 23 (No.) Dated: July 16, 2009