The Government recently approved 29 Foreign Direct Investment (FDI) proposals that will bring in Rs 616.08 crore into the country.This sure sounds pleasant to the ears amidst all the Recession,Firing,Cost Cutting news doing rounds.
Foreign Investments have always been at the forefront of driving the Stock Market rallies.India has seen a significant decrease in the Foreign Investments coming its way.FDI inflows totaled over $21bn in the nine months of the current financial year to the end of December, but have been declining since that month, so it might be logical for the government to try to revive the inflow. But, in the current world financial crisis , little extra FDI is likely to come in, however far the rules are relaxed, so that is not a very good reason.
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But There is no doubt that even with the Global Financial Turmoil in place, India still makes an attractive venue for Foreign Investments.Here’s a testimony of India attracting Foreign Investments in good numbers
- AAPC Singapore’s plan to invest Rs 365.78 crore into its Indian subsidiary is among the proposals approved on the recommendation of Foreign Investment Promotion Board (FIPB).
- ABG Bulk Handling will bring in Rs 90 crore for making further downstream investments
- Telcordia Technologies will invest Rs 45 crore for providing number portability solutions.
- A proposal from Cinema Capital Ventures Fund to pump in Rs 50 crore in the media and entertainment sector also received clearance.
- Poltrona Frau will bring in Rs 21.50 crore in single brand retail trading.
Can these Foreign Investments help boost the suffering Economy.Will these approvals lead to further interest in Global Vendors towards Investment in India.Would the Stock Markets take cue and a positive investor sentiment arrive which has been missing for sometime.The questions are endless but the answers too few.
Do put in your thoughts on the same.I will be more than happy to quench my thirst for answers
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