With Eye On China, India Tightens Foreign Investment Vetting

India revises foreign direct investment rules to bridle any attempts at opportunistic M&A amid the COVID-19 crisis. The move is seen largely targeted at China, though pharma experts have mixed views on the new screening measures.

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India Tightens Foreign Investment Rules, Wary Of Predatory M&A • Source: Shutterstock

India has tweaked its foreign direct investment (FDI) rules, amid concerns that unprecedented stress as a result of the coronavirus pandemic could expose domestic firms across sectors to opportunistic takeovers and acquisitions.

The new norms, widely seen as targeted mainly at China, essentially require nations that border India to secure government approval...

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