DIPP will send every application to the relevant department of the government within two days.
The Centre, in its bid to foreign investment, has put a new process in place for clearing FDI applications faster.
DIPP, which is responsible for issuing standard working procedures for FDI applications, will send every application to the relevant department of the government within two days, The Financial Express reported. Digitally filed applications will have e-transfer, saving time and effort.
Recently, the government scrapped Foreign Investment Promotion Board (FIPB) and authorised the state’s individual departments to clear FDI applications under the supervision of Department of Industrial Policy and Promotion (DIPP).
While approval of applications needing security clearance is expected to take maximum 10 weeks in the new system, others will take eight weeks. E-applications are to be digitally signed in absence of which the applicant would have to submit a physical copy.
FDI security clearance for broadcasting, telecom, satellite, and small arms sector have to be referred to the Home Ministry. Pakistani and Bangladeshi investors alongside ventures in the North-East states and Jammu and Kashmir will also attract this special clearance.The new process is aimed at expediting the processing time for FDI proposals and making it more efficient to further incentivize Foreign Direct Investment. India’s economy has been spurring as it obtained USD 61 billion FDI in 2016-17 and USD 55.8 billion in 2015-16, reaching levels higher than all other countries.