AMN / NEW DELHI
Union Cabinet today gave its approval to a number of amendments in the Foreign Direct Investment Policy. These are intended to liberalize and simplify the FDI policy so as to provide ease of doing business in the country. It will lead to larger FDI inflows contributing to growth of investment, income and employment.
As per the decisions, Government approval is no longer required for FDI in Single Brand Retail Trading. Currently, FDI, upto 49 per cent is allowed under automatic route but any investment beyond the limit require government approval. Government has decided to permit 100 per cent FDI under automatic route for SBRT.
Approval also has been given for 100 per cent FDI under automatic route in Construction Development. Foreign airlines have been allowed to invest up to 49 per cent under approval route in Air India.
Foreign Portfolio Investors, FPIs and Foreign Institutional Investors, FIIs have been allowed to invest in Power Exchanges through primary market. Definition of medical devices has been amended in the FDI Policy.
Union Cabinet approved the Cadre review of Group ‘A’ Executive Cadre of Central Industrial Security Force. It provides for creation of 25 posts of various ranks from Assistant Commandant to Additional Director General ranks to enhance the supervisory staff in Senior Duty posts of CISF.
The Cabinet also approved a Memorandum of Understanding with Canada for cooperation in the field of Science and Technology. The MoU will provide a mechanism and help to foster scientific cooperation between Research and Development and academic institutions of India and Canada.
In addition, the Cabinet okayed implementation of the CCEA decision on closure of Tungabhadra Steel Products Limited regarding disposal of its immovable assets. It also provides for getting the name of the company struck off from the Registrar of Companies after setting balance liabilities of TSPL.
The proposal to amend Section 4(1) and Section 5(1) of the National Trust for the Welfare of Person with Autism, Cerebral Plasy, Mental Retardation and Multiple Disabilities Act, 1999 was also approved to fix the term of the Chairperson and Members of the Board of National Trust for three years.
The Cabinet Committee on Economic Affairs gave its approval to continuation of Members of Parliament Local Area Development Scheme, MPLADS, till the term of the 14th Finance Commission which is 31st March 2020. The scheme will entail an annual allocation of 3,950 crore rupees.