The Department of Industrial Policy & Promotion (the "DIPP") had, in supersession of the erstwhile policy on foreign investments in India (the "Erstwhile FDI Policy") released the consolidated policy on foreign investments in India (the "FDI Policy, 2016") which is effective from June 07, 2016. Vide the FDI Policy, 2016, the DIPP has consolidated all the Press Notes released by it in the last year and further attempted to provide much needed clarification with respect to some of the items. For our analysis of Press Note 9 of 2015, Press Note 12 of 2015 and Press Note 3 of 2016 please refer to our earlier Infolex Newsalerts. Here, we have attempted to capture the key highlights of the FDI Policy, 2016 over and above the revisions suggested in the aforementioned Press Notes. Soon after the FDI Policy, 2016, DIPP has issued Press Note 5 of 2016 which seeks to further liberalize a few sectors listed under the FDI Policy, 2016 (the â€œPress Note 5â€).