Decision to hike telecom FDI to 74% stands: FM

The Union Cabinet today turned down a proposal by the Communications Ministry to keep in abeyance the increase in Foreign Direct Investment limit to 74% from 49% in the telecom sector and directed resolution of inter-ministerial differences within three months.

"Department of Telecom had suggested suspension of Press Note 5 and the matter was discussed. The decision to increase FDI to 74% stands," Finance Minister P Chidambaram said after a Cabinet meeting chaired by the Prime Minister here.