Columns Possibilities and Potentials of Foreign Direct Investments

  1. From the year 2005 there is the scope of Foreign Direct Investment India in the real estate sector. For the reason there was a massive growth in the genre. There was the promise of the high returns and the sector witnessed the entry of the several foreign real estate investment firms. In the year 2007 and in the starting phase of 2008 the sector really achieved the best of heights. However, the sector got the blow due to the global economic slowing down. In the mid section of 2008 foreign investments stopped entering the country and there was a possible downturn in the business. With the recent economical improvement fund started entering the genre and more people are having real profits in the sector of real estate these days.

    The Value of FDI


    Apart from the real estate sector these days India is witnessing a fast improvement in the business and commercial sector due to foreign direct investment. Every year a report is prepared on the basis of the amount of FDI and this helps in calculating the return each year. For the major hike in the economical status it is best to opt for the option of foreign direct investment. Due to the investment the progress is fast and promising and this is the time one has much to gain in the process.

    Real FDI Potential


    After realizing the potential of the various business sectors in India the Indian government is in favour of the drastic changes in the genre of Foreign Direct Investment India. As a result huge funds are entering the scenario and the government is also in the side of granting exemptions in matters of foreign direct investment. However, the government from time to time levy some of the strict rules to help you stay safe in the commercial aspect. According to the current FDI Indian law a real estate company cannot sell an undeveloped plot. This is the reason you have to stay with the non-viable projects.

    Involvement of the Indian Ministry


    However, the Indian ministry has suggested that that a non residential investor in the genre of real estate can sell his shares to one more non resident investor absolutely free of cost. This would help in solving the liquidity problem in matters of the foreign investors and they are sure to have best boosting of the confidence. The government takes the initiative to arrange for a regulatory authority for the reason of protecting the interest of the consumer in the real sense.
    Legal Practice:
    Business - Venture Capital
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