Question
Which of the following sector allow 100% foreign equity
investment in India?Solution
Following are the sectors that allow 100% foreign equity: Agriculture and animal husbandry, mining, single brand retail, multibrand retail, Oil and gas exploration, pharmacy, airport, NBFC, ARC (Asset Reconstruction Company), B2B e-commerce, market place model e-commerce E-commerce generally have 2 models: inventory based and market place based. In the first case, company owns the commodities that it sells. But in later case, it only provides a digital platform for various sellers to sell their commodities. 100% FDI is permitted in latter’s case.
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