Business-India

Liberalization of FDI In Insurance Companies – A Look at the Step(s) Taken Since the Big Budget Announcement. The industry is now well versed with the move to liberalize foreign direct investment (“ FDI ”) in Indian insurance companies to 74%, from the existing cap of 49%. The announcement was first made by the Finance Minister Ms. Nirmala Sitharaman on February 1, 2021, as part of her Budget presentation. The move followed the rise in FDI limits to 100% in insurance intermediaries, which was announced by Ms. Sitharaman in July 2019 and effected in September 2019. It appears that the government is now acting swiftly with the legislative changes to effect the proposal to increase FDI in insurance companies to 74%. Both houses of the Indian Parliament recently assented to the Insurance (Amendment) Bill, 2021 (“ Amendment Bill ”), to amend the Insurance Act, 1938 (“ Insurance Act ”). The Rajya Sabha passed the Amendment Bill on March 18, 2021, while the Lok Sabha passed the Amendment Bill...

PHARMACEUTICALS The Country is Largest Vaccine Producer in The World FDI in Pharmaceuticals in India India enjoys an important position in the global pharmaceuticals sector with a 20% share of generic medicines in supplies by volume. Indian pharmaceutical sector industry supplies over 50 percent of global demand for various vaccines, 40% of generic demand in the US, and 25% of all medicine in the UK. India is the source of 60,000 generic brands across 60 therapeutic categories and manufactures more than 500 different Active Pharmaceutical Ingredients (APIs). The export of generic drugs is one of India's core strengths. The country’s pharmaceutical exports stood at US$ 17.27 billion in FY18 and have reached US$ 19.14 billion in FY19.  Presently over 80% of the antiretroviral drugs used globally to combat AIDS are supplied by Indian pharmaceutical firms. 100% Foreign Direct Investment (FDI) in pharmaceuticals in India is allowed under the automatic route for green-field pharma. 100% ...