Finance Minister relaxes FDI limit in insurance.
Finance Minister Arun Jaitley in his budget speech announced an increase in the composite Foreign Direct Investment (FDI) limit in the insurance sector to 49% from the current 26%. The foreign partner will have full voting rights, but managerial control will rest with the Indian partner. The insurance bill will have to be approved by parliament. An increase in FDI in the insurance sector also implies an increase in FDI in the pension sector to 49%.