Industry body today welcomed the government’s move to abolish the Foreign Investment Promotion Board saying it will boost FDI inflows into the country.
“The momentous initiative (scrapping of FIPB), , which is a follow-up of the measure reported in the Union Budget, would streamline the procedure of FDI endorsements, and consequently support FDI streams into the nation, adding to development and work,” CII Director General Chandrajit Banerjee said.
He said the move would take Foreign Direct Investment (FDI) inflows to more prominent statures, and fortify the engaging quality of India as a feasible business goal.
“The strong stride of destroying of FIPB, with just 11 areas now requiring endorsement, alongside choices, for example, a solitary window to clear FDI recommendations, mirror the administration’s responsibility regarding changes and consoles speculators that simplicity of working together remains a high need,” Banerjee said.
Moreover, the industry body said the manufacturing of vital organization for protection under the ‘Make in India’ activity, cleared by the Cabinet today, will give a fillip to indigestion of India’s safeguard industry and prepare for more prominent exchange of innovation from remote firms to local accomplices.
The Union Cabinet today endorsed ending up of the 25-year-old Foreign Investment Promotion Board (FIPB), which has been screening FDI proposition requiring government endorsement. Fund Minister Arun Jaitley in his Budget discourse on February 1 had declared the rejecting of the between clerical body, which goes under the service’s Department of Economic Affairs.
FIPB was constituted under the Prime Minister’s Office following economic liberalisation in the early 1990s. Currently, only 11 sectors, including defence and retail trading, require government approval for FDI.