INDIA INTELLIGENCE REPORT

 

Business & Economy

FDI in construction: not
just yet, says Centre 

What is India News Service, Thursday, 17 February 2005, 2000 hrs IST

India on Thursday deferred a decision on the proposal to allow foreign direct investment (FDI) in the construction sector even as the United Progressive Alliance government has informally warmed up to the measure.

"The proposal has been deferred because of the elections in Bihar and Jharkhand," Commerce Minister Kamal Nath said after a meeting of the Cabinet Committee on Economic Affairs chaired by Prime Minister Manmohan Singh here.

Kamal Nath refused to dwell further on the issue, saying the government was not in a position to make any further statement because the Election Commission's model code of conduct was in force.

In the commerce ministry proposal, the extent of foreign investment - whether 51 percent or 100 percent - was left for the cabinet to decide, even as the emphasis was laid on incremental construction activity, rather than on acquisition of land.


CAs want opening of audit service: Chartered accountants can soon hope to become millionaires like IT professionals if India succeeds to convince the developed world to open up their service sector under Mode 4 of the WTO framework. The talks on this issue are scheduled to be held later this year in Hong Kong.

Govt plans to trim holding in all public sector banks to 51%: The trickle of fresh equity offerings by public sector banks (PSBs) during the current fiscal could turn into a deluge in the coming financial year. 

Hyundai to zoom in with second auto plant in India: Hyundai Motor Co is planning to set up a second automobile plant in India near Chennai to meet growing demand and aimed to use the country as a regional export hub. 

BMW to drive in here too: For car lovers there is more good news BMW ,premium European car manufacturer, will soon dispatch a team to India to get prepared to enter the huge Indian market.

China, India to drive container growth: China and India will be driving growth in international container traffic in the world in the next decade.
 
More bilateral air traffic rights: With air traffic from India projected to go up "substantially", the government would soon hold talks with France, Germany, Hong Kong and China to enhance the bilateral air traffic rights in line with what has been agreed upon with the US and the UK.

GTB merger: OBC to rationalise pay: The Oriental Bank of Commerce is set to carry out a major manpower restructuring, especially at the acquired Global Trust Bank unit, after it gets a report from the National Institute of Bank Management. 
 
GOM on airports to meet soon: The empowered group of ministers (GoM) on restructuring of Delhi and Mumbai airports is likely to meet in a couple of days to finalise the Request for Proposal (RFP) documents, which would outline the requirements of modernising the airports for the bidders.
 
IA to induct 12 more planes: In a major decision, the board of directors of Indian Airlines (IA) approved the "dry leasing" of 12 wide-bodied aircraft as also their tender specifications.


Securities tribunal favours Advance Ruling Authority: The Securities Appellate Tribunal (SAT) recommended to set up an Advanced Ruling Authority with the Securities and Exchange Board of India (SEBI), to be put in place to determine questions of law or fact.

New spectrum policy on anvil: Communications and Information Technology Minister Dayanidhi Maran today said India would soon come out with a spectrum policy which is technology neutral and in tune with international practices. 

Power bills shock Baddi industrialists: With the state electricity board imposing a penalty, worth crores, on the 104 industrial units in Baddi for violation of light load with retrospective effect from 2002, industrialists in Baddi are up in arms against this delayed penalty. They contend that this extreme decision of the board is not only arbitrary but also inimical to the growth of industry in Himachal.
 
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