New Delhi, Feb 11 (ANI): The Cabinet Committee on Economic Affairs on Thursday approved a proposal of the Commerce and Industry Ministry to review the policy on cases requiring prior government approval for foreign investment.
Presently, the recommendations of the Foreign Investment Promotion Board (FIPB) on proposals with total project cost up to Rs.600 crore are approved by the Finance Minister and proposals involving total project cost more than Rs.600 crore are put up to the Cabinet Committee on Economic Affairs.
Further, presently the total project cost, including the foreign equity inflow, is taken into consideration in deciding whether the proposal is to be put up for consideration of CCEA.
With the approval, only proposals involving total foreign equity inflow of more than Rs.1200 crore would be placed for consideration of CCEA.
The recommendations of FIPB on proposals with total foreign equity inflow of and below Rs.1200 crore will be considered by the Union Finance Minister for approval.
With the Government's further liberalization, the approval is expected to save time and efforts for the FIPB and CCEA and also expedite foreign investment inflow. (ANI)