Thaindian News

New Delhi, Jan 10 (IANS) The Indian government Tuesday approved 20 foreign direct investment (FDI) proposals, including those of Sterlite Grid and TV Vision, amounting Rs.1,935.24 crore ($373 million), to improve investor sentiment further.

The proposals were cleared following recommendations of the Foreign Investment Promotion Board (FIPB) at its meeting Dec 23, 2011, the finance ministry said in a statement.

FDI is considered stable in comparison to foreign institutional investor (FII) funds which are called “hot money”.

After two months of decline, India saw $2.53 billion of FDI in November last year against $1.62 billion in the same month of 2010.

The government cleared Sterlite Grid’s Rs.1,150 crore proposal to act as an investing company. It also allowed Equitas Micro Finance’s Rs.230.70 crore proposal for demerging its microfinance business with its wholly owned subsidiary.

Mumbai-based TV Vision’s Rs.200 crore proposal to induct foreign investment by way of issuing equity shares through an initial public offering (IPO) for a non-news and current affairs television channel had also been approved, said the ministry in a statement.

The ministry, however, deferred 23 proposals, including those of Rossell Aviation, Veritas (India) and Aptuit Laurus.

It rejected 10 proposls, including those of Pomelo Infra Projects, Flemingo Dutyfree Shop and Springer Editorial Services.

A proposal of G4S Security Services for induction of foreign equity to carry out the business of providing security services has been withdrawn from the agenda and another of MNP Interconnection Telecom Solutions has been noted.

In the case of Omnimedia SL’s proposal to undertake the business of publishing and printing of scientific and technical magazines and circulation of their digital versions that did not involve any fresh flow of money, the applicant was advised to approach the information and broadcasting ministry.