India is one of the largest military equipment importers in the world, at over $8 billion a year.
While the cumulative FDI inflows of $25.35 billion for April-February 2008-09 were higher than the $20.13 billion a year ago, the country has been witnessing a steep fall in foreign investments since October 2008, according to official figures. In February 2008, the foreign investment was $5.67 billion.
The Department of Industrial Policy and Promotion in the Commerce Ministry proposes to scale back the Foreign Direct Investment ceiling for the tobacco industry from 100 to 74 per cent and insert a caveat that cigarettes manufactured in the new ventures or in upgraded facilities must be mainly for consumption outside India.Sources said the department, which is responsible for the policy on FDI, is finalising a cabinet note aimed at comprehensive review of the tobacco policy.
Foreign cigarette companies could soon find it harder to sell their products in India. The government is looking into a proposal to ban foreign direct investment (FDI) in the wholesale marketing arms of these companies. It is also exploring the possibility of shifting the import of tobacco products from the open general licence (OGL) to the restricted list.
The government on Wednesday cleared 21 foreign direct investment proposals worth Rs 18.46 crore.
US foreign direct investment inflows into India will increase to $1 billion annually by 2010, according to Indo-American Chamber of Commerce.
Foreign direct investment (FDI) in India's aviation sector is long overdue; the Cabinet should back Mr Singh's decision -- which was taken following a meeting with Finance Minister Pranab Mukherjee, Petroleum Minister Jaipal Reddy and Commerce Minister Anand Sharma.
Admitting that infrastructural bottlenecks were deterring foreign investment, the finance ministry on Wednesday said FDI inflow declined by 24 per cent to $4.66 billion last fiscal.
Prime Minister Manmohan Singh on Friday justified the decisions on allowing FDI in multi-brand retail and some other areas, saying these were aimed at pushing economic growth and generating employment in "difficult times".
Japan on Tuesday said the labour unrest at Honda Motorcycles and Scooters India could impact foreign direct investment inflows into India, but ruled out its intervention in the matter.
The war in Ukraine has made its presence felt at the World Economic Forum's annual meeting in Davos. As political and business leaders' debate, they remain fearful of Europe's economic future. There is a sense of gloom among many business leaders as energy shortage and economic recession rear their heads. Global investors are keenly assessing the presence of Indian delegation at Davos.
Prime Minister Narendra Modi on Wednesday said that the country's economic growth is picking up pace again and the domestic industry needs to enhance its risk-taking appetite. Noting the recent reforms taken by the government, the Prime Minister said that bringing reforms is a matter of conviction for his government, which is ready to take all risks in the national interest. "We have taken bold decisions. Reforms continued even during pandemic. "The government is doing reforms not out of compulsion but out of conviction," he said while addressing the CII's annual meeting.
The minister is on a two-day visit to Russia for India-Russia Business Dialogue, held under the umbrella of the St Petersburg International Economic Forum 2012.
The Department of Industrial Policy and Promotion in its draft Cabinet has proposed to further tighten the rules for foreign direct investment in brownfield pharmaceutical sector.
SSTL is the second operator after Vodafone that has approached FIPB for raising FDI limit.
According to sources, Finance Minister Pranab Mukherjee on Monday spoke to Opposition leaders about this decision. Details awaited.
The ongoing key reforms such as sops for manufacturing, easier labour laws, wooing FDI inflows and privatisation will help improve productivity and support long-term growth at 7.5-8 per cent levels, which if played out well, can help India contribute 15 per cent of global GDP growth by FY2026, says a report. According to a report pencilled by the India economist at UBS Securities, Tanvee Gupta Jain, the country has the lowest manufacturing costs among peers, even though China retains significant ecosystem advantages and despite that India and Vietnam appear most likely to benefit from a shift out of China.
FDI inflows, in August last year, stood at $2.32 billion, the Reserve Bank said in its bulletin.
A section of traders and hawkers today staged protests in various parts of the country against the government's decision on FDI policy in multi-brand retail, the Confederation of All India Traders (CAIT) said.
The outbound FDI is also expected to increase, resulting in net FDI inflow of $24 billion.
The industry ministry on Monday proposed foreign direct investment up to 74 per cent in the defence sector from the present 26 per cent, stating urgent upgrade of equipment in the armed forces was needed as a bulk of them suffered from obsolescence.
Bharti Walmart is a 50:50 joint venture set up in 2007 between Bharti Enterprises and Walmart and is engaged in wholesale cash and carry trade.
A DoT panel has suggested completely opening up the telecom sector to foreign direct investment, a move which is expected to bring in fresh funds into the industry that is facing a financial crisis.
FIPB rejects proposals from firms that have not divulged details of beneficial ownership or source of funding
The Union Cabinet in its decision of November 24, which has since been put on hold, permitted 51 per cent FDI in the multi-brand retail, well above expectations of the Walmart and its Indian joint venture partner -- Bharti Group.
The agency said in a statement that a provisional order has been issued under the Prevention of Money Laundering Act "attaching bank accounts of Amnesty International India Pvt Ltd (AIIPL) and Indians for Amnesty International Trust (IAIT)".
The stipulation that new front-end stores will have to be set up will impact M&A in the sector.
In recognition of his efforts in making India an attractive foreign direct investment destination, Commerce and Industry Minister Kamal Nath has been selected as the "Global fDi Personality of the Year
The decision is likely to bring in at least Rs 5 lakh crore of fresh investments into the sector over five years by improving connectivity and competition
The push for FDI in retail by foreign interests smacks of the East India Company syndrome and Indians have the right to protest any attempt by a class of corporate cronies to rule India by proxy, says A Faizur Rahman.
In India, these global retailers exported goods worth $725 million in 2010. Modern retail constitutes 6.5 per cent of the $435-billion overall Indian retail market.
The world's largest retailer Walmart on Wednesday said its investments in India will grow manifold if foreign direct investment regulations on multi-brand retail are relaxed in the country.
The adjudicating authority of the Enforcement Directorate ED has adjudicated a show cause notice issued to Amnesty India International Pvt Ltd (AIIPL) and its CEO Aakar Patel for contravention of the provisions of Foreign Exchange Management Act and imposed a penalty of Rs 51.72 crores and Rs 10 crores respectively on them, the probe agency announced on Friday.
The government said on Thursday said it will make it clear within 10 days whether foreign players be allowed to hold stake in stock exchanges or not.
The recent Cabinet decision to allow 51 per cent foreign direct investment in the multi-brand retail sector in India has deeply divided the nation's political, social and trading classes.
The time for allowing FDI in retail sector in India has not yet come. Such a move may end up hurting domestic interests, says Arun Jaitley.
The government on Friday said that the realisation rate of foreign direct investment inflows into India has been the highest in 2002 since 1991 at 191.08 per cent in rupee terms.\n\n\n\n
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