On Wednesday, the Union Cabinet approved the automatic path for 100 percent foreign direct investment (FDI) in the country’s telecom industry, with all protections in place. Only 49% of FDI was authorized through the automated method before today, and everything over that had to go through the government channel.
“Through the telecom industry, there was 100% FDI, but only 49% of it was in the automated route,” Union telecom minister Ashwini Vaishnav said at a news conference. Today, the cabinet voted to authorize 100 percent FDI in telecom through the automated method. All precautions will be in effect, including press note 3 and others.”
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The Union cabinet also approved eight structural and five process changes for the telecom industry, in addition to the significant shift in FDI. During Wednesday’s briefing, Ashwini Vaishnav stated that these changes would transform the structure of the whole sector, as well as deepen and widen the industry.
According to an official release, the reform action would further increase the proliferation and penetration of broadband and telecoms in the face of good performance in the telecoms sector to solve the COVE-19 issues.
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‘The reform measures will further boost broadband and telecommunications connectivity’s proliferation and penetration, with massive increases in data consumption, Online learning, homework, social media interpersonal connections, virtual gatherings, etc.’
