Meanwhile, the government has approved 51 percent of foreign direct investment in the supermarket sector. Government will also allow the entry of world's major supermarkets like Wal-Mart, Tesco and Carrefour.
Governor, Reserve Bank of India (RBI), said that the opening of global supermarket chains will help growth and controlling of inflation in the country.
The opening up of retail sector to global players has been a much awaited reform but has been long hobbled by political differences. Meanwhile, the Congress-led government's biggest ally Trinamool Congress has opposed the move arguing that it would cause harm to the smaller retailers across the country.