New Delhi, Sep 10 (ANI): The Union Cabinet on Thursday approved the formation of a company 'Invest India' for the promotion of foreign investments under the Ministry of Commerce and Industry.
Announcing the formation of 'Invest India,' Commerce and Industry Minister Anand Sharma said "The company will be a joint venture between the Government of India, the Federation of Indian Chambers of Commerce and Industry (FICCI) and the State Governments will be responsible for promoting foreign investments into the country in a more focused, comprehensive and structured manner."
The new company is expected to assist the government in its efforts towards projecting India as an attractive investment destination for foreign investors. The company will also assist foreign investors in identifying and realizing investment opportunities in India.
"The unique feature of this company is the partnership between the private sector organization and the Government of India and the State Governments. This is, unlike anywhere else in the world and seeks both to leverage the synergies of all three as well as address their investment priorities," Sharma added.
Sharma informed that "The Board of Directors of the Invest India comprises of six members from Department of Industrial Policy and Promotion (DIPP) and six members from FICCI."
"Secretary DIPP will be its Non Executive Chairman. The Board of Directors will appoint a Managing Director and FICCI will provide the administrative, personnel and management support for day to day functioning," Sharma said.
The authorized capital of the company will be Rs 10crore and the initial paid up capital Rs. one crore. While FICCI will have 51percent share in the equity, DIPP will have 49 percent share to begin with. DIPP's share will be reduced overtime to 35 percent of paid up capital with induction of fresh equity by the State Governments.
The company will act as the first reference point for any investor interested in India and will also facilitate in setting up business within the country, by making available sector wise consultants and coordinating with the state government on feasible measures, Sharma said. (ANI)