TNI Bureau: The Union Cabinet cleared the Foreign Direct Investment (FDI) in retail and civil aviation sectors. The move could change the condition of retail market in India during inflation, according to the government.
The clearance of FDI in retail comes a day after the government hiked the diesel prices by Rs 5 per litre, putting a big pressure on the common people.
The move will allow the foreign companies such as Wal-Mart Stores to set up shops in India with the help of local partner and sell the products directly to the consumers.
The clearance of FDI in the civil aviation sector will allow foreign airlines to buy up to 49% stake in Indian carriers. The government claims that the decision has been taken after consulting with all the allies.
However, Mamata Banerjee’s Trinamool Congress, which has been opposing the FDI in retail, stayed away from the Cabinet Committee on Economic Affairs (CCEA) meeting today.