In the wake of economic liberalisation policy initiated in 1991, the Government of India has taken several measures to encourage foreign investment, both direct and portfolio, in almost all sectors of the economy. However, the emphasis has been on foreign direct investment (FDI) inflows in the development of infrastructure, technological upgradation of industry and setting up Special Economic Zones (SEZs). The present book deals with almost all aspects of foreign investment in India. It particularly focuses on current policies and procedures for foreign direct investment as well as foreign portfolio investment. Foreign investment policies of other countries have also been highlighted to make suitable comparisons with India's policies in order to underscore the measures that are needed to attract higher levels of foreign capital and technology.