India's foreign direct investment policy allows foreign investors to pick up 49 per cent stake in domestic airlines, but foreign airlines are not permitted.
Policy could end land acquisition and green nod problems, and encourage foreign investors.
Exuding confidence that current account deficit (CAD) will come down to 3.7 per cent of GDP in 2012-13, Finance Minister P Chidambaram on Monday said overseas capital flows would be sufficient to bridge the gap in inflow and outflow of foreign funds.
Singapore has emerged as the most sought after destination for foreign direct investment by Indian companies, who invested over USD 500 million there in May.
FDI inflows into India declined from $31.5 billion in 2011 to $27.3 billion in 2012, Unctad said in a report on global investment trends, which it released on Thursday.
The apex court asked Reserve Bank of India to amend Foreign Exchange Management Act regulations within two weeks to allow implementation of FDI in retail sector.
The bench of Chief Justice N V Ramana and Justice Pradeep Nandrajog issued notices to the Centre, Foreign Investment Promotion Board and Commerce and Civil Aviation ministries and sought their responses by October 30.
Many private equity funds and retailers, who have long-term vision, will come to India, says Biyani.
Banerjee alleged a section of the media was trying to create a bad propaganda revolving around Haldia, particularly the Haldia Dock Complex where everything was 'fine' and work had not been affected.
She wondered whether reforms meant pointing guns at farmers and that there would be no shopkeepers in the localities.
Leading corporate lawyers and accounting firms have swung into action to interpret the grey areas in the multi-brand retail FDI policy and suggest follow-up action to clients before they start striking deals.
Backing Centre's decision to allow foreign direct investment in multi-brand retail, Congress leader Rahul Gandhi has said the decision will help farmers prosper by removing middlemen from the supply chain and generate new jobs.
The report highlights the country's good growth prospects fuelled by ongoing economic liberalisation and strong domestic demand.
Alleging that Prime Minister Manmohan Singh has pushed the country's economy back to 1991 era of economic crisis, the Bharatiya Janata Party on Tuesday hit out at the Congress-led United Progressive Alliance government at the Centre for allowing Foreign Direct Investment in multi-brand retail.
Indian governments enjoy brief periods of autonomy before politics take over.
Bharti Enterprises has had a joint venture with Walmart in the wholesale trade for years in India.
The government has often defended its decision to open multi-brand retail to foreign direct investment (FDI) by saying modernisation of the sector through fresh investment would bring down wastage of fruit and vegetables.
The Department of Industrial Policy and Promotion (DIPP) has finally sanctioned the proposal of allowing foreign direct investment (FDI) from Pakistan. But the final notification will be issued by the Reserve Bank of India (RBI) within the next couple of weeks. The move will be unprecedented in the bilateral trading relations between both the nuclear-armed neighbours.
Unfazed by the uproar over Foreign Direct Investment in retail and other tough decisions, Prime Minister Manmohan Singh on Saturday indicated that the government may continue with the reforms process and expressed willingness to discuss issues with allies.
'As long as people are willing to compromise on quality for a lower price, the unorganised retail sector will stay.'
Kingfisher has said it is in talks with foreign carriers for bringing in FDI, a move that is expected help it overcome financial troubles.
Govt to review decision after demand assessment.
Gujarat Chief Minister Narendra Modi was the cynosure of attention at the closed-door BJP national executive at Surajkund. Intervening in a discussion on foreign direct investment in retail, Modi asked other Bharatiya Janata Party leaders to go full hog on the issue by holding not less than 5,000 public meetings -- at least 10 in each Lok Sabha constituency -- to win over traders and farmers against foreign retailers to expose the Congress' hype on reforms to deflect attentio
Earlier, politicians thought voters demanded a ceiling on inflation. Now, people want a floor on growth.
On September 14, the government allowed 51 per cent foreign holdings by multi-brand retail chains with two caveats -- one foreign retail chains like Wal-Mart, Tesco, etc will be allowed to set up shops only in those cities with over 1 million population; and secondly, they can operate only in those states, which allow FDI in retail.
Singh had said that India needed one trillion dollars to bail out the nation from the economic crisis and FDI in retail sector can alone make that happen.
SBI has the largest exposure of Rs 1,500 crore (Rs 15 billion) to the airline which has not been serviced since this January.
American businesses are lobbying with political parties here to build a consensus on stalled economic reforms such as liberalisation of foreign direct investment (FDI) in sectors like multi-brand retail, aviation and insurance, and for expeditious introduction of a Goods and Services Tax (GST).
For insurance intermediaries like brokers, insurance repositories, third-party administrators, etc, 100 per cent FDI may be permitted.
The government has gone ahead with the move 'notwithstanding the widespread opposition' to FDI in multi-brand retail trade, the party said, adding it would wage struggles "to get this anti-national decision rescinded'.
A bandh called by the National Democratic Alliance, Left parties and the Samajwadi Party to protest against diesel price hike, Foreign Direct Investment in multi-brand retail and cap on subsidised LPG on Thursday evoked mixed response as protestors disrupted road and rail traffic in parts of Uttar Pradesh, Bihar, West Bengal and Odisha but it had little impact in Mumbai.
Samajwadi Party workers on Thursday held demonstrations in some parts of Uttar Pradesh and stopped a train in Allahabad in support of the bandh against Foreign Direct Investment in retail and hike in diesel prices.
A day after the Trinamool Congress said it was withdrawing support to the UPA government, in protest against the reform measures announced by the government, the Federation of Indian Chambers of Commerce and Industry held a press conference to buttress its views on the importance of sustained reform process.
The chief minister held that foreign investors would try to capture the retail sector that would subjugate the farmers and destroy local retailers and the common man would not benefit in any way.
Etihad and Qatar Airways have held informal talks with Kingfisher and SpiceJet to expand their footprints in India.
Banerjee said that traders would be hard hit by the Centre's decision on allowing FDI entry in retail.
In light of the recent announcement of the government to introduce Foreign Direct Investment in retail sector, the United Progressive Alliance government is facing a backlash from its allies.
Foreign direct investment inflows into India rose an annual 12.9 percent in July to $1.66 billion.
Recently, e-commerce firms have been under the lens for tax violation.
SpiceJet has held "preliminary discussions" with a Gulf airline for potential investment in the Indian budget carrier, a news report has said.
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