In the current environment of global uncertainty and volatile capital flows, foreign investment remains critical for India’s growth trajectory. Both Foreign Direct Investment (FDI) and Foreign Portfolio Investment (FPI) play an important role in supporting capital formation, technology transfer and integration with global value chains. Over the past decade, India has made significant progress in rationalising policies governing these flows. Today, most sectors allow up to 100% foreign ownership under the automatic route, reflecting the country’s broader effort to simplify investment frameworks and attract global capital.