FIFP Approval for Telecom

An Overview of FIFP Approval for Telecom

Foreign Investment Facilitation portal is developed by the Government of India to facilitate and regulate the flow of Foreign direct investments (FDI) in the country. FIFP approval is essential for those business entities that do not qualify for FDI approval automatically. The Telecom sector is one of such 11 sectors identified by the government that require FIFP approval. With the introduction of FIFP approval, the government is able to attract a heavy inflow of FDI in this sector while keeping the entire process simple and transparent.

Benefits of the Foreign Investment Facilitation portal (FIFP)

The government of India developed Foreign Investment Facilitation portal for:

• Increase the FDI Investments: The old FDI approval process was tedious and complicated, in order to simplify the process and invite a large number of foreign direct investments, the government has introduced FIFP.

• Transparency of process: FIFP has enabled transparency between various departments, the ministry and the applicant. The applicant can view the entire process and status of the application in the portal.

• Promotional activities: FIFP portal shall allow the government to conduct promotional activities to attract participation from both domestic and international companies and Non-Resident Indians (NRIs).

• Digitalisation of FDI Process: The introduction of the FIFP portal has shifted the entire process for FDI approval online for certain sectors. The process of digitalisation has made it easier for companies to seek approval from the government.
• Dissemination of Information: It is easier to inform all the stakeholders about any changes in the policy or regulations via the FIFP portal.  The timely dissemination of vital information by the government can save applicants a lot of time and money.

Regulatory Bodies involved in granting FIFP Approval

• Department of Industrial Policy and Promotion
• Ministry of commerce and industry
• Department of Telecommunication

Documents required for FIFP Approval for Telecom

The following Documents are required for FIFP approval for telecom:

• Certificate of incorporation of the telecom company
• Articles of association
• Memorandum of association
• Telecom License Agreement
• A detailed report of the Telecom operator
• Proposal for Foreign investment
• Board resolution of the Investors and Investees
• Audited Financial statement of the previous Financial year (both of the investor and Investee)
• Name and Details of all foreign investors/ collaborators
• Diagrammatic representation of the flow of funds from the investor to the investee company
• Documents for joint venture (if applicable)
• Copy relevant government approvals obtained in the past
• Affidavit stating that all the information provided is true

Procedure for Registration of FIFP approval

The applicant must complete the following steps to complete the procedure for FIFP Approval

• Registration: The applicant has to first register with the Foreign investment Facilitation portal's website. Here the applicant needs to fill in the relevant details.

• Account Creation: The applicant will receive an OTP through the registered mobile number/ email id. Now the applicant must log in to the portal and create a new username and password for their account.

• Online filing of application: once logged in the applicant must access the Comprehensive corner tab and then go to the 'forms' sections. From here the applicant needs to click on the License (IL-FC) and the applicant has to provide relevant information regarding the business. The applicant can save his progress at various stages and reopen the form by using the application number.

• Submission of Documents: Next, after filling in the relevant details, the applicant has to upload all the Documents as mentioned in the Documents section as and when prompted. It is better to collect all the Documents before filing the application as the application cannot be forwarded unless all information is provided. With this, the online procedure is completed.

• Submission of physical copies: After completing the online process, the portal shall intimate the applicant about the date to submit the physical copy of the FIFP application to the concerned authority (in this case the department of telecommunications). The application has to be submitted within 10 days of the online submission of the form.

• Security Clearance Form: The applicant must fill in a self-declaration form, which can be found under the FIFP web portal tab-> Comprehensive corner-> forms-> Security clearance form. This form must be attached to obtain a security clearance.

How will Corpbiz assist you in obtaining the FIFP Approval for Telecom?

FIFP approval may not look as simple as it seems, sign up for Corpbiz’s FIFP Consultancy services.

• Upon signing up for our FIFP approval service our experts will connect with you and collect the required information.
• Next, our experts will help you with your paper works process. To ensure a hassle-free application process.
• Then, we shall guide you in applying for approval through the FIFP website and ensure that all the details are filled in correctly.
• Later, Take regular follow-ups with the department and update you on the status of the application.
• Lastly, Ensure timely delivery of your FIFP approval of telecom for your business.