The government is considering easing Foreign Direct Investment (FDI) norms in the defence sector to facilitate more projects where global giants can participate, sources said. The Department for Promotion of Industry (DPIIT) is leading stakeholder consultations on the issue to attract more investments in the sector where up to 100% FDI is allowed in select projects. The Defence Industry sector opened up in May 2001 for private sector participation. The FDI limit in the defence sector was enhanced in 2020 up to 74% through the Automatic Route for companies seeking a new defence industrial license, and up to 100% through the approval route wherever it is likely to result in access to modern technology.