During 2015, in ________ sector, Government of India had allowed about 49% of FDI.
Show answer & explanation
Correct answer: B
Explanation
The correct answer is option 2 i.e. defence.
During 2015, the Government of India allowed up to 49% Foreign Direct Investment (FDI) in the defence sector. This move was aimed at encouraging foreign investment to boost the domestic defense industry, improve technology transfer, and reduce dependence on imports. Allowing 49% FDI helped attract global defense manufacturers and joint ventures, promoting indigenous production under the “Make in India” initiative while maintaining majority control with Indian partners to safeguard national security interests.