India Plans to Double FDI Limit in Print Media

The Indian government is considering a proposal to increase foreign direct investment limit in print media sector to 49% from 26% at present.

Currently, the FDI policy permits 26% foreign direct investment in the publishing of newspapers and periodicals dealing with news and current affairs through government approval route, PTI reported.

According to sources, the government has started a consultation process on the matter with an aim to attract more foreign funds in the sector.

Last year, the government relaxed FDI norms in several sectors, including civil aviation, defense, private security agencies, pharmaceuticals and food processing industry. During 2015-16, FDI in the country increased by 29% to $40 billion, from $30.93 billion in the previous fiscal.

Foreign investments are considered crucial for India, which needs around $1 trillion for overhauling its infrastructure sector such as ports, airports and highways to boost growth. Foreign investments will help improve the country’s balance of payments situation and strengthen the rupee value against other global currencies, especially the US dollar.

Meanwhile, the number of print media publications in India grew 5.13% in the year ended March 31, 2016, the government said. A total of 5,423 new publications were registered during the year, taking the total count of registered publications to 110,851 from 105,443 in the previous year, according to a report, ‘Press in India 2015-16’, prepared by the Registrar of Newspapers of India and unveiled by M. Venkaiah Naidu, minister of information and broadcasting.

Out of the total print media publications, 16,136 were newspapers, while 94,715 were registered as periodicals. “Indian print industry continued its growth story at a steady rate of 5.13% over the previous year,” Naidu said. In the year 2014-15, the number of print media publications had increased 5.8% to 105,443.