FDI-Direct & Indirect Investments


Computation of foreign investment

To calculate foreign investment, both direct and indirect foreign investment in an Indian company is to be considered.

Direct foreign investment

All investment made by a non-resident entity directly is an Indian company is deemed as direct foreign investment, and the entire amount of such investment is to be counted towards foreign investment when calculating a company’s total foreign investment.

Indirect foreign investment


Where company B has foreign investment of says 75 percent and;

Pricing of shares issued by an Indian company