FDI in Defence Production Hiked From 49% to 74%, Ban on Certain Imports of Weapons: Nirmala Sitharaman in 4th Tranche of Economic Stimulus

Items banned for imports can only be purchased from within the country, she said presenting the fourth tranche of the economic stimulus package. Also, there will be indigenisation of some imported spares, she said adding separate budget provisioning for domestic capital procurement will be done.

Nirmala Sitharaman addressing the press | (Photo Credits: ANI)

New Delhi, May 16: In the fourth tranche of announcements related to Aatma  Nirbhar Bharat package, Finance Minister Nirmala Sitharaman on Saturday said FDI limit in defence manufacturing will be hiked to 74 per cent from 49 per cent while some weapons and platforms will be banned for imports. The move is aimed at boosting the "Make in India" drive that was launched by Prime Minister Narendra Modi four years ago. ‘Commercial Mining in Coal Sector to Start, Govt Monopoly to End’, Announces FM Nirmala Sitharaman as Part of 4th Tranche of Aatmanirbhar Bharat Package.

"Foreign Direct Investment limit in defence manufacturing under automatic route is being raised from 49 percent to 74 percent," Sitharaman said in her press interaction.

Update by ANI

Items banned for imports can only be purchased from within the country, she said presenting the fourth tranche of the economic stimulus package. Also, there will be indigenisation of some imported spares, she said adding separate budget provisioning for domestic capital procurement will be done.

This, she said, will reduce the huge defence import bill. Ordnance Factory Boards will be corporatised for better management and eventually get listed on the stock market, she said adding corporatisation is not privatisation.

Sitharaman also announced easing of restrictions on the utilisation of Indian Air Space so that civilian flying becomes more efficient. "Will bring a total benefit of Rs. 1000 crores per year for the aviation sector," she said, adding that six more airports would be auctioned.

(The above story first appeared on LatestLY on May 16, 2020 05:10 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).

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