The Foreign Investment Promotion Board (FIPB), on Monday, approved 11 foreign direct investment (FDI) proposals worth Rs 2,325 crore, including that of Sharekhan Ltd selling 100 per cent of its stake to BNP Paribas.
Sharekhan’s proposal would attract foreign investment of Rs 2,060 crore, finance ministry sources said after the meeting
The FIPB, headed by Economic Affairs Secretary Shaktikanta Das, also cleared the proposal of Perrigo India worth Rs 253 crore.
Other proposals approved included Pepe Jeans and IBM. Of the 18 foreign investment proposals considered, three — including that of Idea Cellular Infrastructure Services and Flag Telecom — were deferred for want of more information. FIPB rejected four proposals.
Morgan Stanley’s proposal of Rs 95 crore was approved through automatic route.
India allows FDI in most sectors through the automatic route, but in certain segments considered sensitive for the economy and security, the proposals have to be first cleared by the FIPB. The government has taken slew of measures in the recent past to boost foreign direct investment into the country.
On June 20, the government had “radically liberalised” the FDI regime with the objective of providing major impetus to employment generation in India. This was the second big reform after some major changes announced in November 2015. The government has said measures undertaken by it has resulted in increased FDI inflows at $55.46 billion in 2015-16, against $36.04 billion in 2013-14.