Government Approval Route

Additional Details

Government Approval Route of India approval route has to be taken by the Foreign Companies, for opening business in India in the activities not covered under the automatic route. Such applications seeking to do their activities in the areas not covered by the automatic route are placed before the foreign Investment (FIPB), Department of Economic affairs, Ministry of Finance for consideration and necessary approval. The Government of India in its endeavour to open up the Business to the world is continuously reducing the number of sectors in this category. Even the cases covered under approval route, also get consideration for clearances and get the final decisions with regard to the required permissions within a reasonable time.

Any Indian company which received FDI from a Foreign Company, either under Automatic route or the Government approval route has to report to the Government in the prescribed format, with the details of the receipt of the amount of foreign investment for the issue of any equity along with they know your customer (KYC) report from the Overseas Bank of the Foreign Company within 30 days from the date of receipt of the above said Foreign inward remittances.