o Impact on Indian economy and its defence sector

o It marks a major push to defence manufacturing under the 'Make in India' initiative.

o It will ensure availability of cutting edge technologies for the defense forces, boost local manufacturing in India

♤ Pharmaceutical: The earlier FDI policy on pharmaceutical sector provides for 100% FDI under automatic route in greenfield pharma and FDI up to 100% under government approval in brownfield pharma. With the objective of promoting the development of this sector, 74% FDI under automatic route has been permitted in brownfield pharmaceuticals. FDI beyond 74% would be permitted through Government approval route.