Multiple choice

One major proposal of New Industrial Policy (1991) was

  1. NRIs will not be allowed for capital investment in India

  2. all types of industries have been made licence free

  3. import restrictions of technical know-how for one year

  4. facility of direct foreign investment upto 51% in high priority industries

Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

The New Industrial Policy (1991) introduced automatic approval for direct foreign investment up to 51% in high-priority industries, a major liberalization measure to attract technology and capital.