Economics
India Eases Rules to Lure Foreign Investors
- Foreign airlines allowed to buy 49% in state-run Air India
- Need for approval scrapped for foreign single-brand retailers
Modi is trying to lure foreign capital to revive economic growth that is seen expanding at the slowest pace since he came to power in 2014.
Photographer: Prashanth Vishwanathan/BloombergThis article is for subscribers only.
Indian Prime Minister Narendra Modi eased restrictions on foreign direct investment across several sectors, including allowing overseas airlines to invest in state carrier Air India Ltd., in a bid to revive growth in Asia’s third largest economy.
Foreign carriers can buy up to 49 percent in the loss-making national airline, the government said in a statement. In a move aimed at further improving ease of doing business, the cabinet also allowed single-brand retailers to start local operations without federal approval and foreigners can own up to 100 percent in real estate brokerages.