Any investment or buying of shares of any india company by a foreign company greater than Equal to ..... perecent of companys net worth is considered as FDI and below this is considered as FII

BANKING GENERAL KNOWLEDGE

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Question [CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]

Any investment or buying of shares of any india company by a foreign company greater than Equal to ____ perecent of company‘s net worth is considered as FDI and below this is considered as FII

A	5
B	10
C	27
D	49
E	51

Explanation:

Detailed explanation-1: -Resident corporate entities and partnership firms registered under the Indian Partnership Act, 1932 are eligible to make investment abroad in Joint Ventures/ Wholly Owned Subsidiaries.

Detailed explanation-2: -Ownership of 10 percent or more of the voting power in an enterprise in one economy by an investor in another economy is evidence of such a relationship. FDI is a key element in international economic integration because it creates stable and long-lasting links between economies.

Detailed explanation-3: -FDI up to 100%, under the automatic route is permitted for manufacturing of medical devices. The above mentioned conditions will, therefore, not be applicable to greenfield as well as brownfield projects of this industry.

Detailed explanation-4: -Ans: Yes, except in sectors that attract equity cap. The criteria for allowing such investments have been detailed in the guidelines for FIPB consideration. FIPB approval is required if the activity does not fall on the automatic route.

There is 1 question to complete.