Indian government has approved 100 percent foreign direct investment (FDI) in construction sector except real estate, a move aimed at boosting the economy, said local media Thursday.
The government Wednesday agreed to amend the policy on construction development sector to allow "100 percent FDI automatic route", said the local daily The Tribune.
Meanwhile, the new policy will also allow foreign investors in carry out construction in 20,000 square meters as minimum requirement down from 50,000 square meters, while reducing minimum investment to 5 million U.S. dollars.
However, foreign money is not allowed in real estate development and farmhouse luxury construction building.