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The value of foreign investments sought in December 2011 dropped to a
fourth of those in November 2011. That’s quite a contrast with the
continuous increase in the value of FDI proposals reaching the Foreign
Investment Promotion Board (FIPB) in the finance ministry after July
2011.
This may not be coincidence, point out analysts, as the level of FDI requests fluctuated with some key policy
Analysts say July 23, 2011, was like a red letter day for foreign investors when the Committee of Secretaries, headed by Cabinet Secretary Ajit Kumar Seth, recommended opening up the multi-brand retail trade. The development was not seen just as a bonanza for multinational retail companies like Walmart, Carrefour and Tesco, but it was a positive signal to the overall global community. Perhaps reflecting the international investor sentiment, the value of FIPB proposals received in August 2011 jumped 82 per cent to touch Rs 194.25 crore — from Rs 106.71 crore in July 2011.
Analysis of the FIPB data shows that from August to November 2011, the FDI proposals received by FIPB increased month by month in value terms, but it declined sharply in December. In September 2011, companies sought FDIs worth Rs 281.33 crore, up 12.3 per cent from August; in October at around Rs 700 crore, up 220 per cent from September; and in November at Rs 1799.37 crore, up 156 per cent from October.
Source: http://business-standard.com/india/news/fdi-proposals-drop-after-multi-brand-flip-flop/465206/
This may not be coincidence, point out analysts, as the level of FDI requests fluctuated with some key policy
Analysts say July 23, 2011, was like a red letter day for foreign investors when the Committee of Secretaries, headed by Cabinet Secretary Ajit Kumar Seth, recommended opening up the multi-brand retail trade. The development was not seen just as a bonanza for multinational retail companies like Walmart, Carrefour and Tesco, but it was a positive signal to the overall global community. Perhaps reflecting the international investor sentiment, the value of FIPB proposals received in August 2011 jumped 82 per cent to touch Rs 194.25 crore — from Rs 106.71 crore in July 2011.
Analysis of the FIPB data shows that from August to November 2011, the FDI proposals received by FIPB increased month by month in value terms, but it declined sharply in December. In September 2011, companies sought FDIs worth Rs 281.33 crore, up 12.3 per cent from August; in October at around Rs 700 crore, up 220 per cent from September; and in November at Rs 1799.37 crore, up 156 per cent from October.
Source: http://business-standard.com/india/news/fdi-proposals-drop-after-multi-brand-flip-flop/465206/