The Press Note No. 2 (2026 Series) revises Para 3.1.1 of the Consolidated FDI Policy. Under the revised policy, entities or citizens from countries sharing land borders with India can invest in India only through the Government approval route. It clarifies the meaning of “beneficial owner” by aligning it with definitions under the Prevention of Money Laundering Act and related rules. It specifies that ownership or control exceeding prescribed thresholds or enabling effective control would trigger these restrictions. The investments involving indirect ownership from such countries that do not require prior approval must comply with prescribed reporting requirements.