7723
Eyeing billions in 2015, India Rolls Out FDI Red Carpet 
World Economy

Eyeing billions in 2015, India Rolls Out FDI Red Carpet 

With an estimated $25 billion worth of FDI in its kitty during 2014, the government is eyeing a quantum jump in the foreign capital hitting Indian shores in the new year as it hopes to reap the fruits of further opening up of defense, railways and insurance sectors among others.
The ambitious ‘Make in India’ program, launched by Prime Minister Narendra Modi with much fanfare in 2014, is another big-ticket ride that the government expects the foreign investors to take to bring billions of dollars in FDI into the country, PTI reported.
Showing its commitment to fast-track the reform process, the government has taken ordinance route to increase foreign investment limit in the insurance sector to 49 percent, from 26 percent currently. Besides, it has also liberalized foreign direct investment policy for medical devices.

  Efforts to Improve
However, a lot will depend on the government’s efforts to improve ease of doing business, where India ranks poorly at 142nd position and the prime minister has set a target to bring this rank to top-50.
Experts and government officials are optimistic that the various initiatives taken by the government would yield results in 2015.
“Government’s initiatives to improve ease of doing business and opening up of FDI in defense, railways and construction would boost FDI in 2015,” a senior official said.
Experts also say that the global sentiment has turned very positive for India.
“Global sentiments towards India is extremely positive. Foreign firms are looking at India very keenly. The measures announced in 2014 and the proposed steps will help in attracting more FDI In 2015,” Head of Tax and expert on FDI with corporate law firm Amarchand & Mangaldas Krishan Malhotra said.
However, no big-ticket investment has been announced by any foreign company as yet.
Seeking to streamline the foreign investment regime, the commerce and industry ministry has also proposed to introduce a composite cap which will include FDI, FII and other instruments in various sectors.
In terms of foreign inflows, FDI is estimated to have grown to over $23 billion till October this year, as against about $22 billion in the same period last year and over $26 billion in the entire 2013.
India needs around $1 trillion worth investments between 2012-13 and 2016-17, the 12th Five-Year Plan period, to fund infrastructure growth covering sectors such as ports, airports and highways.
Under the ‘Make in India’ campaign, the prime minister has asked foreign and domestic firms to set up manufacturing units in the country to create jobs and boost economic activities in the country.

 

Short URL : http://goo.gl/CHt01u

You can also read ...

Venezuela Devalues Currency by 95 Percent
Venezuela devalued its currency by about 95% ahead of the Aug...
The average annual salary for K–12 public-school teachers is roughly $58,000, and they typically spend a sizable chunk  of that on classroom supplies integral to their jobs
Airbnb, the popular platform that lets people rent out their...
S&P, Moody’s Lower Turkey Ratings
Two major global ratings agencies lowered Turkey’s ratings Aug...
Nigeria CB Reports $91b FX Inflow in 2017
The Central Bank of Nigeria, said the aggregate foreign...
Russia’s largest electronics chain, M. Video, estimates that about a fifth of its products are bought with credit  or on installment plans as people are more confident about the future.
Russian consumers are borrowing like the boom times are back...
Argentina Says Poverty to Rise as Economy Slumps
More Argentines are likely living in poverty now compared with...
Egypt Keeps Rates Steady
Egypt’s central bank left its main interest rates unchanged,...
China Internet Stocks Fumble
A steep downturn in heavyweight Chinese internet stocks and...

Trending

Googleplus