Schizophrenia over FDI

Two consumer-facing sectors of the Indian economy remain perpetual hostage to successive governments’ schizophrenia about foreign direct investment (FDI). One is the airline industry, the other is retailing. The broad policy approach appears to be blissfully detached from the realities of business. Foreign dollars are welcome, foreign ownership and management are not. Within this broad rubric, however, there are exceptions, all of which leave potential investors confused about policy directions.

A reminder was offered on Tuesday by the CEO of Qatar Airways, Akbar Al Baker. He said the airline would wait a year for permission to start an airline in India