Insurance: India raises foreign direct investment limit to 100%

The foreign direct investment (FDI) limit for the Indian insurance sector has been raised from 74% to 100%.

Announced by the Minister of Finance during the presentation of the 2025-2026 budget, this measure is subject to one condition: premiums collected from Indian policyholders must be invested entirely in India.

This decision is aimed at attracting new capital and reinforcing the insurance sector's financial strength.

As a reminder, the FDI limit for Indian insurers had already been raised from 26% to 49% in 2015, and from 49% to 74% in 2021.