Foreign direct investment in the telecom sector plunges to $ 43 mn in Apr-Sep

FDI down. Reuters

The experts said that in addition to the global economic slowdown, which has influenced the inflow, the sector is facing a lot of problems in their own country.

"The overall condition of the telecommunications sector is very critical. Industry is smaller in terms of margins and profitability and that is the main reason why foreign investors are shying away, "MOBILE PHONE industry body COAI Director General S Rajan Mathews said.

Another industry expert said that the initial euphoria of the sector now is over and the Government is now focusing on the promotion of the framework of the manufacturing part.

The decline comes at a time when economic growth has slipped further in the July-September quarter to 5.3 percent, raising fears that the delay can pull down the annual growth rate to a ten-year low.

Overall, foreign direct investment in India fell by about 33 percent to 12.84 billion dollars in the first half of this fiscal of 19.13 billion dollars in the year ago period.

Sectors which attracted significant FDI inflow during the first six months of this fiscal record services (3.04 billion dollars), metallurgical (685 million dollars), agriculture ($ 644 million) and car ($ 635 million).

For the period April-September India received maximum FDI of Mauritius (6.25 billion dollars), Japan (1.32 billion dollars), Singapore (1.12 billion dollars) Netherlands (968 million dollars) and the United Kingdom (592 million dollars).

The inflow had combined to 36.50 billion dollars in 2011-12, compared with 19.42 billion dollars in 2010-11 and $ 25.83 billion in 2009-10.

Decrease of the pressure on foreign investment the country balance of payments (BoP) and also could affect the value of the rupee.

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US foreign direct investment-in-retail vote sees as incentive for investment in India

The US Government has in Parliament that of FDI in thevote retail will facilitate praised. Reuters

"There was a political process that is unfolding. All sides had the chance to express their views, whether for or against it, and it was approved, "said the American official.

Also welcomed the U.S.-India Business Council (USIBC), the leading business advocacy group, on Friday, the Indian Parliament vote, that the entry of FDI in multi-brand retail will facilitate.

"This will usher in the much-needed investment and expertise in the supply chain development that can link directly to farmers markets more efficiently, so as little as possible loss due to insufficient storage and transport facilities," said USIBC President Ron Somers in a statement (here).

' FDI in multi-brand retail will support the Government objective of achieving remunerative prices for farmers, and also quality and choice for India's increasingly sophisticated consumer base will increase, "said Somers.

Recognize that it is up to the individual States, this proposal would be the USIBC is keen to work with progressive Governments, including Uttar Pradesh, Gujarat, Maharashtra, Karnataka, Tamil Nadu, Andhra Pradesh, Punjab and Bihar, and in 2013 will lead many of its 350 member companies for a visit to these countries, it said.

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Mayor of London back-India foreign direct investment decision on for consumers, insurance

Boris Johnson during his India visit. PTI

London's technology sector had grown from virtually nil to more than 40,000 people in service, Johnson said.

"It happened because people of brilliance and energy, many of them of Indian origin, came to London because they like the feeling of the place and have made their home there," he added.

Johnson said that the critical thing in a global economy is to find the place and the people who value in the most efficient and competitive way will add.

As part of their tour in India, the mayor said that they could convince two hotel chains in investing in London hospitality sector.

You answered query, he said a city mayor has control over the police, security, system for safety and security of the citizens.

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