Revision in telecom FDI likely

Revision in the 2005 policy for foreign direct investment in telecom sector is likely to be announced on or before January 2, Lok Sabha was informed on Wednesday.

The government had notified the policy for enhancement of foreign direct investment ceiling from 49 per cent to 74 per cent in the telecom sector on November 3, 2005 which stipulates certain conditions for addressing security concerns, Information and Technology Minister Dayanidhi Maran said in reply to questions.

A number of representations have been received from various stakeholders seeking relaxation of some of the conditions in the interest of sustained growth of the telecom sector and the IT sector which is dependent on telecom infrastructure, he said.

These representations are under consideration of the government, the minister said. The representations are being examined through inter-ministerial consultations.

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