Under attack for allowing FDI through "back-door" in sectors like multi-brand retail, the government is likely to come out with a clarification soon.
"In order to put at rest any ambiguity with respect to the intent and meaning of certain provisions of Press Note-2, 2009 relating to downstream investment by companies having FDI, the Department of Industrial Policy and Promotion is considering a clarification," Minister of State for Industry Ashwani Kumar told reporters here today.
The clarification to the Press Note 2 would come in a day or two.
Kumar, however, did not say whether the government would specifically mention that FDI in multi-brand retail would not be allowed.
The government on February 11 changed FDI policy and excluded indirect investment through domestic companies from overall sectoral ceilings which raised criticism that the new policy allows FDI in multi-brand retail through "back door".
At present, FDI is permitted only in single brand retail and wholesale cash and carry model. US-based Wal-Mart has a joint venture with the Bharti Group for cash and carry.
