Rs 5077 crore FDI reported by companies operating in defence sector: Govt

New Delhi, Overseas Direct Funding (FDI) value Rs 5077 crore has been reported by firms working within the defence sector, the defence ministry stated in Lok Sabha on Friday. The info was offered by Minister of State for Defence Ajay Bhatt whereas replying to a query.

The defence business sector was opened up in Might 2001 for personal sector participation, he stated.

“The FDI restrict within the defence sector was enhanced in 2020 as much as 74 per cent by means of the automated route for firms in search of new defence industrial licence and as much as 100 per cent by the federal government route wherever it’s prone to end in entry to fashionable expertise,” Bhatt stated.

“To this point, Rs 5077 crores value of FDI has been reported by firms working within the defence sector,” he added.

The minister stated the federal government additionally promotes co-development and co-production of area of interest defence applied sciences with overseas authentic tools producers to encourage FDI within the defence sector.

To a separate query, he stated the defence ministry has signed a contract with the Mazagon Dock Shipbuilders Ltd (MDL) on December 20 for procurement of six subsequent era offshore patrol vessels for Indian Coast Guard (ICG) at a complete price of Rs 1614 crore.

(Now you can subscribe to our Financial Occasions WhatsApp channel)