Shares of companies engaged in retail business have rallied on the bourses after a committee of secretaries (CoS) gave in-principle nod to 51% Foreign Direct Investment (FDI) in multi-brand retail.
At present, India allows 100% FDI in cash & carry wholesale trade and 51% in single-brand retail like Nike and Louis Vuitton, but any such money in multi-brand retail is prohibited.
"However, CoS, headed by Cabinet Secretary Ajit Kumar Seth, was in favour of riders like minimum $100 million (around Rs 450 crore) FDI, at least half of which has to be invested in back-end infrastructure like cold storage, soil testing labs and seed farming," the newspaper report suggests.
Among the individual stocks, Pantaloon Retail, Shoppers Stop, Vishal Retail, Koutons Retail and Mudra Lifestyle are trading higher by 4-8% each on the Bombay Stock Exchange (BSE).
You’ve reached your limit of {{free_limit}} free articles this month.
Subscribe now for unlimited access.
Already subscribed? Log in
Subscribe to read the full story →
Smart Quarterly
₹900
3 Months
₹300/Month
Smart Essential
₹2,700
1 Year
₹225/Month
Super Saver
₹3,900
2 Years
₹162/Month
Renews automatically, cancel anytime
Here’s what’s included in our digital subscription plans
Exclusive premium stories online
Over 30 premium stories daily, handpicked by our editors
Complimentary Access to The New York Times
News, Games, Cooking, Audio, Wirecutter & The Athletic
Business Standard Epaper
Digital replica of our daily newspaper — with options to read, save, and share
Curated Newsletters
Insights on markets, finance, politics, tech, and more delivered to your inbox
Market Analysis & Investment Insights
In-depth market analysis & insights with access to The Smart Investor
Archives
Repository of articles and publications dating back to 1997
Ad-free Reading
Uninterrupted reading experience with no advertisements
Seamless Access Across All Devices
Access Business Standard across devices — mobile, tablet, or PC, via web or app