India’s industries department under the commerce ministry, which drafted the new policy.
India is reviewing around 50 investment proposals involving Chinese companies under its new FDI screening policy. “We are being a bit more cautious,” one Indian official said about the impact on applications since the border clash.
The Scrutiny part of norms to curb opportunistic takeovers amid COVID-19 crisis.
Under fresh rules announced by India in April, all investments by entities based in neighbouring countries need to be approved by the Indian government, whether for new or additional funding.
China is the biggest of these investors and the rules drew criticism from Chinese investors and Beijing, which called the policy discriminatory.