Government Regulation and Public Sector Law

The Department for Promotion of Industry and Internal Trade (“DPIIT”), through its revised Standard Operating Procedure (“SOP”) dated 4 May 2026 for processing Foreign Direct Investment (“FDI”) proposals, has introduced what appears at first glance to be a procedural reform.

In the wake of the COVID-19 pandemic, the Department for Promotion of Industry and Internal Trade (“DPIIT”) had issued Press Note 3 of 2020 (“PN3”), mandating prior Government approval for investments originating from entities or citizens of countries sharing land borders with India (“LBCs”), or where the beneficial owner of the investment was situated in or was a citizen of such countries.

This edition of Defence Dispatch examines three pivotal developments from April 2026: India and Germany's ten-year defence industrial cooperation roadmap that advances the P-75I submarine deal, the newly published India-Russia RELOS agreement allowing unprecedented foreign military presence on Indian soil, and South Korea's state visit outcomes that shift the K9 Vajra partnership toward co-development and joint design of advanced military systems.

India's Ministry of Civil Aviation has introduced the Aircraft (Carriage of Dangerous Goods) Rules, 2026, establishing a comprehensive certification-driven framework for transporting hazardous materials by air.

It is well known that legislation which changes substantive rights is to be prospective in application so as not to punish acts which were lawful when performed.

In a decision on the scope of writ jurisdiction in the context of arbitration proceedings, the Supreme Court of India (“Supreme Court”), in M/s Tarini Prasad Mohanty vs. M/s Sunflag Iron and Steel Company Limited,1 has held that the exercise of writ jurisdiction under Articles 2262 and 2273 of the Constitution of India (“Constitution”) to set aside an order passed under Section 164 of the Arbitration and Conciliation Act, 1996 (“Arbitration Act”) was not justified, particularly where the arbitrator was seized of the arbitration proceedings.

India is positioning itself to reduce dependence on China for critical minerals through ambitious policy frameworks including the National Critical Minerals Mission and Rare Earth Permanent Magnets Scheme. This analysis examines how strategic India-Japan cooperation can build resilient supply chains across the Indo-Pacific region.

On June 3, 2026, the Supreme Court of India's Artificial Intelligence Committee published for public consultation its draft Regulations for Use of Artificial Intelligence in Courts, 2026 (“Draft Regulations”).

The regulatory framework governing environmental governance in India has undergone significant evolution since the enactment of the Environment (Protection) Act, 1986. At the heart of this framework lies...

SEBI has issued a circular deferring penal consequences for listed entities that fail to meet minimum public shareholding norms during periods of external economic disruption. This regulatory relief measure allows companies additional time to achieve compliance under more favorable market conditions while maintaining the long-term integrity of public shareholding requirements.

The Union Budget 2026 has introduced several significant policy and regulatory changes that may impact businesses across various sectors. We highlight key elements of the budget which has implications on the businesses and the economy.

In a unanimous decision that emphasises a thoughtful approach to India's shifting economic environment, the Reserve Bank of India's Monetary Policy Committee (MPC) on October 1, 2025, kept the policy repo rate steady at 5.5%, upholding a neutral position.