Foreign Investment Promotion Board meet on Feb 4

The Foreign Investment Promotion Board (FIPB) will meet on February 4 to consider requests by different companies to bring in FDI in the country amidst slowdown in the inflows.

While the agenda for the meeting is being finalised, sources said the board may also take up some of the requests, decisions of which were deferred in the previous meetings.

In the last meeting held on December 31, the FIPB headed by Finance Secretary Ashok Chawla, had cleared 19 proposals worth Rs 4,340 crore.

Meanwhile, Japan based Kyuden International Corporation has approached the FIPB to allow it to make downstream investments into companies engaged in activities in renewable power projects.

Secunderabad based Pluralsoft Limited has also sought government's nod for allowing FDI in software and IT related fields.

In the last meeting, the FIPB had deferred decision on 16 applications including that of Reliance Broadcast Network's proposal of infusion of overseas investment by FIIs and NRIs by way of fresh allotment of shares through private placement up to the limit of 20 per cent of the total paid up capital of the company.

Decision on ABG Shipyard's proposal to enter defence contract was also deferred. Besides others, the board had also deferred decision on Essar Capital Holdings (India) proposal for acquisition of equity shares by way of subscription to new equity shares and purchase of existing equity shares in an company engaged in telecom sector.

As per the latest data of the industry department, FDI inflows declined by 27 per cent to $14 billion (Rs 64,083 crore) in first eight months of the current fiscal, from $19.3 billion in the same period of 2009-10.