20 Sep 2017
Live Post
Post merger of HITS-Cable TV biz, IMCL’s FY17 net loss swells to Rs 206 crore
RIL Surges 4% After Telecom Regulator Slashes Interconnect Charges
Mumbai Rains: 34 domestic flights cancelled till 12 pm today, main runway remains shut
Tata Sons buys big chunk of shares in group firms
Swine flu: 42 positive case in Mohali
HIV blood transfusion probe: High-level team gives clean chit to Regional Cancer Centre
Flipkart, Amazon in Rs100 crore ad blitz
Politicians may have helped Iqbal Kaskar net 100 crore in 3 years
Mobile bills to go down as Trai cuts call termination charges to 6 p/min

Cabinet approves FIPB abolition, ministries to process FDI applications

MUMBAI: With the union cabinet abolishing the 25-year old Foreign Investment Promotion Board (FIPB), the administrative ministries/departments will process applications for foreign direct investment (FDI) requiring government approval.

The Ministry of Information & Broadcasting (MIB) will process the FDI applications related to the media and entertainment sector.

The union cabinet, chaired by the Prime Minister Narendra Modi, has given its approval to the phasing out of FIPB. The proposal entails abolishing the FIPB and allowing administrative ministries/departments to process applications for FDI requiring government approval.

Henceforth, the work related to the processing of applications for FDI and approval of the government under the extant FDI policy and FEMA will now be handled by the concerned ministries/departments in consultation with the Department of Industrial Policy & Promotion (DIPP), Ministry of Commerce, which will also issue the Standard Operating Procedure (SOP) for processing of applications and decision of the government under the extant FDI policy.

The move will provide ease of doing business and will help in promoting the principle of ‘Maximum Governance and Minimum Government’, the government said.

Presently, applications are considered by the FIPB in Department of Economic Affairs (DEA), Ministry of Finance, comprising various secretaries of Government of India, for making recommendation on FDI applications. After the cabinet decision, it would be handled independently by administrative ministries as per sector.