The Government has notified amended rules under the Foreign Exchange Management Act to operationalise its decision to allow up to 100 per cent FDI for the space sector.
As per the notification issued by Ministry of Finance, 100 per cent Foreign Direct Investment has been allowed for manufacturing and operation of satellites, satellite data products and ground segment and user segment, out of which up to 74 per cent will be through the automatic route and government approval will be required for investment beyond 74 per cent.
Finance Ministry said, automatic FDI has also allowed up to 49 per cent for launch vehicles and associated systems or subsystems, and creation of spaceports for launching and receiving spacecraft. Government nod will be required for investments beyond 49 per cent.