New Delhi: In a move to help foreign
investors understand the Indian FDI rules, the government will
put together about 175 of its 'press notes' into an user-
friendly compendium.
"We have close to about 175 press notes circulating... the
Industry Ministry has taken a decision to put all of these
together in a booklet so that the FDI rules become much
simpler for a foreign investor," Minister of State for
Commerce and Industry Jyotiraditya Scindia said here.
Currently, all the FDI-related norms are dispersed
through press notes issued since 1991. India received USD
120.3 billion foreign inflows in the last 18 years.
The UNCTAD 'World Investment Prospects Survey 2009-2011
has ranked India as the third preferred destination for
foreign direct investment (FDI).
However, Director of economic think-tank ICRIER Rajiv
Kumar said the step is not adequate.
"...the Department (of Industrial Policy and Promotion)
should also do away with the rules which were not being used
by investors... the essential provisions of these notes should
be codified in a single provision. Then it will help the FDI
climate," Kumar said.
During April-August 2009-10, FDI in India declined to USD
13 billion from USD 14.64 billion in the same period last year
due to the global credit squeeze.
Bureau Report
First Published: Thursday, November 19, 2009, 19:06