Centre in move to expand FDI route

 A note, prepared by the Department of Economic Affairs, Ministry of Finance, for consideration of the core group of Foreign Investment Promotion Board (FIPB) proposes to make available the benefits of a liberalised dispensation to all units.

 At a parallel development, the government is also planning to open up the automatic route for FDI to foreign financial and technical collaborators which have existing joint ventures.

 Going by the present norms, automatic route for FDI is not available to those who have any previous joint venture or technology transfer and trade-mark organisation in India when they look for fresh investments and set up new joint ventures in the same area.

 This is being done to safeguard the interest of the Indian partners. The players are required to seek the FIPB approval giving details of the new joint ventures.

 The government feels that the existing provisions are