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Building Access for “Waste-Water Management” Companies<br />

57<br />

A more open trade regime is replacing import substitution and<br />

protectionism. Much of the economy is open to FDI. Sectoral FDI<br />

restrictions have been eased and overseas ownership caps<br />

lifted. Since 2000, the FDI regime has been an OECD-type<br />

“negative list” approach in which all sectors that are not on the list<br />

are open to foreign investment. In most manufacturing sectors,<br />

100% foreign ownership is now possible and much FDI now<br />

comes through the “automatic route”. Foreign exchange<br />

restrictions relating to investment have been relaxed.<br />

Also, public ownership of industries has substantially reduced<br />

as many sectors that were previously reserved are now open to<br />

private enterprises, including overseas investment.<br />

EU27 - India Trade in Commercial<br />

Services (Excluding "Government"),<br />

2007-2009 (In € B)<br />

7.1<br />

9.6<br />

7.9<br />

8.4 8.6<br />

7.4<br />

2.5<br />

0.5<br />

1.2<br />

2007 2008 2009<br />

Imports Exports Balance<br />

4.0<br />

3.0<br />

EU27-India, FDI Trade,<br />

2007-2009 (In € B)<br />

3.7<br />

3.3 3.2<br />

2.8<br />

1.0<br />

0.4<br />

2007 2008<br />

-0.4<br />

2009<br />

Inflow Outflow Balance<br />

www.ebtc.eu

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