NEW DELHI (Commodity Online): The government is actively evolving a consensus to allow foreign direct investments in multi brand retailing, said finance minister Pranab Mukherjee.
He was addressing the 91st annual session of The Associated Chambers of Commerce and Industry of India(ASSOCHAM) on the topic ‘Making Inclusive Transformation Happen: Reinventing the Growth Track Through Innovation and Entrepreneurship.’
The government have already liberalised FDI in single brand retail and a consensus for operationalising the decision taken to open FDI in multi brand retail trading is being pursued, said the finance minister.
For the first time, the government has allowed individual foreign investors other than institutional investors and foreign venture capital firms to invest directly in Indian capital markets. FDI inflows have now bounced back after a slow down in 2010-11, FII inflows also picked up, he added.
The continuing global uncertainty is affecting India. Also, the increased volatility in capital flows is resulting in heightened fluctuations in stock and currency markets with attendant implications for investor confidence.
Mr Mukherjee said,” India is still among the global front runners in the growth field. The Indian economy is better placed than many other nations to withstand a fresh round of global economic turmoil.”
Moreover, he said industry leaders and policy makers need to focus on three areas for equitable growth-education and knowledge creation, creating and strengthening a competitive environment to support private enterprise and encourage greater focus on research and design activities in enterprises and institutions of higher learning.
