What is the Full Form of FIPB ?

Foreign Investment Promotion Board - The Foreign Investment Promotion Board (FIPB) changed into a government enterprise in India that was accountable for reviewing and approving foreign investments into the u . S .. The business enterprise become created in 1991, as a part of India's financial liberalization policy, and changed into disbanded in 2017 as part of the government's efforts to streamline the foreign investment procedure.The FIPB was a single-window clearance system for overseas investment proposals in India. It was answerable for reviewing and approving overseas funding proposals that handed sure thresholds in phrases of funding quantity or the share of equity possession by way of the overseas investor. The FIPB become chaired by the Secretary of the Department of Economic Affairs inside the Ministry of Finance, and its participants protected representatives from various authorities corporations and ministries, consisting of the Ministry of Commerce and Industry, the Reserve Bank of India, and the Department of Industrial Policy and Promotion.The FIPB become answerable for reviewing and approving foreign investment proposals in numerous sectors of the Indian financial system, including manufacturing, offerings, and infrastructure. The business enterprise turned into additionally accountable for tracking and regulating the activities of overseas investors in India, and making sure that their investments complied with the relevant laws and rules.

Foreign funding proposals that required FIPB approval covered those who passed sure thresholds, inclusive of:

• For investments in sectors other than banking, protection, and retail, proposals that worried a foreign equity ownership of extra than forty nine% had been required to be permitted by using the FIPB.
• For investments within the banking quarter, proposals that concerned a foreign equity ownership of more than seventy four% have been required to be authorized by using the FIPB.
• For investments within the protection area, proposals that worried a overseas fairness possession of extra than forty nine% have been required to be authorised through the FIPB.