Modi government to go with UPA policy on FDI in retail

The Narendra Modi Government is unlikely to rescind the foreign direct investment (FDI) policy for multi-brand retail that the Congress-led United Progressive Alliance government had notified.

The decision to continue with the UPA Government’s policy has been taken as the Centre does not want to deny the freedom of choice that the notified FDI rules gives to States for choosing whether or not to let foreign retailers set up shop. This is because while some States have already thrown open the doors to some foreign retailers, a few more are keen to do so.

For States that choose to be open to FDI in multi-brand retail, the UPA Government had permitted up to 100 per cent investments.

The Modi Government’s new stand on FDI in multi-brand retail is unlike that it had taken in the run up to the elections. When in Opposition, the BJP had said it will reverse this policy if voted to power.“The Centre’s FDI policy gives States the freedom to decide whether or not to permit it in multi-brand retail… the Modi Government will not touch this,” high-level sources told The Hindu.

The Modi Government also decided to carry on with the UPA Government’s initiative of Aadhaar card for targetted schemes, unlike the position the BJP had taken on these individual identification numbers during the election campaign. The only difference is that the Modi Government will issue Aadhaar numbers to Indian citizens.

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Printable version | Nov 21, 2021 12:43:14 AM |

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