NDA to meet over decisions on FDI in insurance, pension

A day after the United Progressive Alliance (UPA) government allowed up to 49 per cent foreign direct investment (FDI) in the insurance sector and opened the pension sector to FDI, members of the Bharatiya Janata Party (BJP)-led National Democratic Alliance (NDA) have called for a meeting to discuss the decisions.

The BJP is aggrieved the government hasn’t sought its cooperation in the parliamentary passage of the Bill. The UPA doesn’t have the majority in the Rajya Sabha; the only way the insurance Bill can be passed is through consensus on the provisions of the Bill, especially if these deviate from the recommendations of the standing committee on finance.

“When Pranab Mukherjee was finance minister, he had assured us the views of the standing committee on finance would be accepted. He had also sent senior ministry officers to meet BJP leaders and finalise amendments to the Pension Fund Regulatory and Development Authority (PFRDA) Bill. But now, the government has erased all discussions and cleared 49 per cent FDI in the insurance and pension sectors, whereas the standing committee had cleared only 26 per cent. This is not acceptable,” said a senior BJP leader who had attended the meeting with Mukherjee.

Senior NDA leaders have opposed the Centre’s recent moves and have sought to discuss these with leaders of major regional parties. “I have spoken to BJP president Nitin Gadkari and suggested all members of the NDA should meet to discuss the decisions of the Union government. We will make efforts to ensure all opposition parties unanimously take a stand against the government. We will also talk to leaders of the Left parties who have already opposed FDI in multi-brand retail. Prime Minister Manmohan Singh is taking decisions to bring FDI, as if this would solve all problems,” said NDA convener and Janata Dal (United) chief Sharad Yadav.

“We have repeatedly said the BJP is against FDI in multi-brand retail…the standing committee on finance had opposed more than 26 per cent FDI in insurance. The BJP is opposed to the government’s views,” said BJP vice-president Mukhtar Abbas Naqvi.

Senior BJP leaders say the Centre should listen to the views of Congress members in the standing committee on finance who had agreed to recommend 26 per cent FDI in the PFRDA Bill, as well as the insurance Bill.