CURRENT AFFAIRS

Detailed explanation-1: -Any investment from an individual or firm that is located in a foreign country into a country is called Foreign Direct Investment. Generally, FDI is when a foreign entity acquires ownership or controlling stake in the shares of a company in one country, or establishes businesses there.

Detailed explanation-2: -FDI (foreign direct investment) it is nothing but investing in a country other than home country which involves direct capital inflows from one country to another. FII (foreign institutional investors) are large companies and institutions that invest in the nation’s financial markets.

Detailed explanation-3: -Foreign corporations invest in India to benefit from the country’s particular investment privileges such as tax breaks and comparatively lower salaries. This helps India develop technological know-how and create jobs as well as other benefits.

Detailed explanation-4: -Foreign Direct Investment (FDI) is the investment through capital instruments by a person resident outside India (a) in an unlisted Indian company; or (b) in 10 percent or more of the post issue paid-up equity capital on a fully diluted basis of a listed Indian company.