Consider the following: 1. Foreign currency convertible bonds 2. Foreign institutional investment with certain conditions 3. Global depository receipts 4. Non-resident external deposits Which of the above can be included in Foreign Direct Investments?

Options

1. 1, 2 and 3 only
2. 3 only
3. 2 and 4 only
4. 1 and 4 only

Correct Answer

1, 2 and 3 only

Explanation

FDI includes investments that create lasting interest and control, such as FCCBs, FIIs under certain conditions, and GDRs. NRE deposits are treated as foreign portfolio investments, not FDI.

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