The new policy has done away with the three-year lock-in period for repatriation of investment.
The government on Wednesday relaxed rules for foreign direct investment (FDI) in the construction sector by reducing minimum built-up area as well as capital requirement and easing the exit norms. It has also allowed for 100 percent FDI in sonstrcution space via automatic route.
While this is a positive move, the benefits of implementing the new norms will flow in with a lag, believes SN Subrahmanyan, whole-time director & senior executive vice president (construction), Larsen & Toubro .
Furthermore, he believes some stability will come in capital flows in the infra space soon.
Transcript to follow soon.