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India Alludes To More Liberal FDI Regime In Coming Weeks
2 min 7 sec to read
India's Commerce and Industry Minister Anand Sharma on 1st January, Wednesday indicated further liberalisation of the foreign direct investment (FDI) policy in the coming weeks.
"The government will continue its endeavour for liberalising the FDI policy further in the coming weeks to ensure that India retains its leadership position for attracting foreign investments," Sharma said in a statement.
The commerce ministry is working towards allowing FDI in railways and e-commerce. Last year, the government had relaxed FDI norms in sectors including telecom, defence, PSU oil refineries, commodity bourses, power exchanges and stock exchanges.
Over a year after India eased FDI norms for multi-brand retail, the first investment proposal came through two weeks ago when British retailer Tesco sought entry into the country's $500 billion retail sector in partnership with Tata's Trent. The Foreign Investment Promotion Board cleared Tesco's $110-million investment plan on December 30. Sharma had indicated last week that there would be more multi-brand retail proposals before the end of the current financial year. "The decisions of the government have resonated with the global community and we have seen results in the last few months," the minister said, adding that India was rated as the most-favoured investment destination destination globally in 2013.
The ministry is now working to relax FDI norms in railways and construction activities. FDI in the April-October period stood at $12.6 billion, down 15% from a year ago. Sharma said the coming months would see a greater push for development of industrial corridors and work would begin for establishing newcities along the Delhi-Mumbai Industrial Corridor (DMIC). The $90-billion DMIC project is aimed at creating mega industrial infrastructure along the Delhi-Mumbai Rail Freight Corridor, which is under implementation. Japan is providing financial and technical aid for the project, which will cover seven states totaling 1,483 km.
"I expect that with greater foreign investment and technology collaborations, Indian manufacturing will alsomove up the value chain and acquire greater competitiveness globally," Sharma said. The minister said the country had done reasonably well in exports in the first eight months of the fiscal despite weak demand in traditional markets. "I am sure that in the remaining period of this financial year, exports will show a strong and dynamic growth,"Sharmasaid.
In April-November 2013, exports grew by 6.27% to $ 204 billion while imports aggregated $304 billion.
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The commerce ministry is working towards allowing FDI in railways and e-commerce. Last year, the government had relaxed FDI norms in sectors including telecom, defence, PSU oil refineries, commodity bourses, power exchanges and stock exchanges.</div>
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The commerce ministry is working towards allowing FDI in railways and e-commerce. Last year, the government had relaxed FDI norms in sectors including telecom, defence, PSU oil refineries, commodity bourses, power exchanges and stock exchanges.</div>
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<div>
"The government will continue its endeavour for liberalising the FDI policy further in the coming weeks to ensure that India retains its leadership position for attracting foreign investments," Sharma said in a statement.</div>
<div>
</div>
<div>
The commerce ministry is working towards allowing FDI in railways and e-commerce. Last year, the government had relaxed FDI norms in sectors including telecom, defence, PSU oil refineries, commodity bourses, power exchanges and stock exchanges.</div>
<div>
</div>
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