Indian Government to review FDI norms twice a year
FDI norms to resolve ambiguity of status of Indian banks - December 26, 2009
In order to make foreign investments in Indian banks more easier, the Indian Government announced that it will review FDI norms twice a year starting from the next fiscal year. The Government is also likely to soon clarify its stand and set standard norms for classification of private institution lenders, such as the ICICI Bank and HDFC Bank, the status of whom was hanging in ambiguity due to the FDI norm revision done earlier in February.
FDI inflows into the country have been impressive, particularly so during the last two years. The FDI flow in October 09 were up 56% and continued the same uptrend in November 09 with an up move of 60% and a inflow of $1.74 billion.
Indian Commerce Minister Anand Sharma released the first draft comprising of 177 press notes on FDI for comments from stakeholders till January 31, 2010. The final draft is expected to come by April 1, 2010.