FDI from Pakistan to India

Discussion in 'Economy & Infrastructure' started by Oracle, Apr 14, 2012.

  1. Oracle

    Oracle New Member

    Joined:
    Mar 31, 2010
    Messages:
    8,120
    Likes Received:
    1,541
    Location:
    Bangalore, India
    India throws open FDI window for Pakistan as warmth sets in

    TNN | Apr 13, 2012, 11.59PM IST | Times of India

    NEW DELHI: Suddenly, the horizon in the neighbourhood appears to be brightening. For the first time ever, India on Friday decided to allow foreign direct investment (FDI) from Pakistan - a step that signals growing warmth in the relations between the two nuclear-armed neighbours.

    Until now, Pakistan was the only country from where FDI was not allowed. The decision to allow FDI may not lead to an immediate rush of investments from Pakistan, but it does show that the two sides are now eager to do business and significantly raise the level of trade and economic engagement between them. "India has taken an in-principle decision as part of trade normalization process to allow foreign direct investment from Pakistan," commerce, industry and textiles minister Anand Sharma told a news conference here after a meeting with his Pakistani counterpart Makhdoom Amin Fahim. "Procedural requirements are underway and it will be notified soon," Sharma said.

    No further details were available but officials had earlier told TOI that after the rules are amended, investments can come through the foreign investment promotion board (FIPB) route into sectors where foreign investment is allowed.

    FIPB has representatives from all ministries, including home, and scrutinizes proposals which are referred to it. "As confidence levels rise, you will see more companies willing to set up ventures in both countries. Initially companies will prefer trading," said a senior government official, who did not wish to be identified.

    Right now, the focus is on trade and sectors like tourism, education, health and hospitality. Opening up trade and investment is likely to cut down the illegal trade between the two sides which is estimated to be worth $10 billion (the official trade is currently only $2.7 billion). This illegal trade, routed mainly via Dubai and Singapore, is now expected to be officially routed.

    Government leaders hope that progress in these areas will generate greater confidence in each other which, in turn, will lay the basis for some meaningful political breakthrough in bilateral relations. "Economic cooperation and mutual gain are often the basis for building political trust. If there's a stake in the ties, no one wants to rupture them," said a senior official.

    Anand Sharma said both sides are keen to open bank branches and discussions are on to thrash out details. "The Reserve Bank of India (RBI) and the State Bank of Pakistan are talking to each other," he said.

    Fahim, who is in India as part of the trade talks between the two countries, said there has been progress for allowing banking services and both sides were engaged in discussions to take it forward. Pakistan has organized a 'Lifestyle Show' in New Delhi as part of the ongoing process of enhancing trade ties.

    Sharma said the two sides have decided to initiate discussion on cooperation on tourism, hospitality and education. They have also decided to set up the India-Pakistan Business Council with co-chairs from both sides. He said the contours of the council would be announced soon. He added that India and Pakistan have agreed in principle to ease visa rules for business travel.

    The two sides have agreed on one-year, multiple-entry visas and an agreement is expected soon. Pakistan agreed to normalize trade and moved closer last month to granting most-favoured nation (MFN) status to India by switching to a system of "negative lists" that will restrict the import of around 1,200 items from India, compared to the earlier regime where only 1,900 products were permitted to be shipped across the border.

    Sharma said opening up of business between the two neighbours will shut trade through third countries and benefit both countries. "India is a very big market and Pakistan's economy will benefit. We will increase connectivity for easier commodity trade," he said.

    Experts say huge potential exists for increasing trade from the current level of $2.7 billion and some estimates it can be raised to $10 billion. India and Pakistan also opened the second gate at the Attari-Wagah border which is expected to boost the flow of trade.

    Source: India throws open FDI window for Pakistan as warmth sets in - The Times of India
     
  2.  
  3. Yusuf

    Yusuf GUARDIAN Administrator

    Joined:
    Mar 24, 2009
    Messages:
    24,274
    Likes Received:
    11,283
    Location:
    BANGalore
    Apart from the government, nobody else is feeling any warmth.
     
  4. Bachchu Yadav

    Bachchu Yadav Regular Member

    Joined:
    Apr 5, 2012
    Messages:
    566
    Likes Received:
    71
    Do Pakistani muslim also vote for Congress party ?
     
    prahladh likes this.
  5. spikey360

    spikey360 Crusader Senior Member

    Joined:
    Jan 19, 2011
    Messages:
    2,285
    Likes Received:
    2,116
    Location:
    The Republic of India
    These Pakistani idiots don't even have the money to invest in their own infrastructure and MMS expects them to invest on India, their sworn enemy. Laughable. Truly the most immature leader of India to have ever been born.
     
    parijataka likes this.
  6. Yusuf

    Yusuf GUARDIAN Administrator

    Joined:
    Mar 24, 2009
    Messages:
    24,274
    Likes Received:
    11,283
    Location:
    BANGalore
    Looking at the brighter side, we have their money and can freeze it any time.
     
  7. ant80

    ant80 Regular Member

    Joined:
    Jul 10, 2009
    Messages:
    141
    Likes Received:
    22
    Am I the only person to remember that the last time such "warmth" pervaded the relationship, Kargil happened!?!?!
     
  8. thakur_ritesh

    thakur_ritesh Administrator Administrator

    Joined:
    Feb 19, 2009
    Messages:
    4,434
    Likes Received:
    1,719
    Location:
    Land of the GODS - "Dev Bhomi".
    Time to move their textile industry to India, then export the same textile back to Pakistan and their clients across the globe. With PPP in the government, its a very doable thing.

    Anyways, this is looking very big, and all this is happening without the MFN status being granted to India. Well MMS, before he hangs up his shoes, seems to be in a very obliging mood, hope he is not thinking Siachen.


    - SUJAY MEHDUDIA

    Businessmen will be given multi-entry visas for more than a year with expanded access

    In a development that is likely to bring cheer to people on both sides of the border, Pakistan's Commerce Secretary Zafar Mahmood on Thursday indicated that India and Pakistan would, in all likelihood, announce a new liberal visa regime by next month to facilitate easy movement of businessmen and give a fillip to trade.

    “In principle, the visa details have been finalised. But they need to be formally approved and then announced after Home-Secretary-level talks. This would be done by the Interior Ministry of Pakistan and the Home Ministry of India,” Mr. Mahmood told journalists after the inaugural function of the four-day “Lifestyle Pakistan” exhibition here. The exhibition was inaugurated by Commerce and Industry Minister Anand Sharma and Mr. Mahmood.

    MULTI-ENTRY VISAS

    Mr. Mahmood said there were possibilities that businessmen from both countries would be given multi-entry visas for more than one year with access to multiple cities. While Mr. Mahmood did not spell out the specifics, officials said these visa holders could be exempted from reporting to the police also.

    “We expect that the meeting between the Interior Ministry of Pakistan and the Home Ministry of India would take place this month or in May and this would be formally announced,” he said.

    India and Pakistan have been working hard behind the scenes to do away with the 1974 visa agreement and put in place a liberal regime that would allow more free movement for people-to-people exchange.

    “Today's scenario is that a Pakistani businessman travelling to Delhi cannot even go to Gurgaon,” Mr. Mahmood said.

    INFRASTRUCTURE

    Stressing the need to improve the infrastructure on the borders to boost the movement of cement and other products, Mr. Mahmood said Indian businessmen were always welcome to invest in Pakistan but there were restrictions on Pakistani businessmen doing so.

    TRADE IN PETRO PRODUCTS

    Speaking at the function, Mr. Sharma said he would discuss all the issues, including allowing trade of power and petroleum products, on Friday with his Pakistani counterpart Makhdoom Mohammad Amin Fahim.

    “We are talking about trade in petroleum products. We are also working towards opening of bank branches of both the countries. The Central Banks of both the countries are in dialogue to finalise the modalities. We will be discussing all these issues,” he said.
     
  9. The Messiah

    The Messiah Bow Before Me! Elite Member

    Joined:
    Aug 25, 2010
    Messages:
    10,788
    Likes Received:
    4,552
    This could be blessing in disguise if we are clever. We could flood there market with our goods and there money would be in our hands and we could tighten the strings as and when required.

    But we need to be clever about it.
     
  10. maomao

    maomao Veteran Hunter of Maleecha Senior Member

    Joined:
    Apr 7, 2010
    Messages:
    4,497
    Likes Received:
    4,142
    Ever heard of Hawala transactions through non-existent financial institutions and companies?? Ever heard of the Political master of Dawood Ibrahim in India -the Power man from Maharashtra? The people who will benefit the most are the corrupt of the ilk of Sharad Pawar and the wretched Antonia Maino, and of course the coterie and their shameless families!! Who gives a fcuk about the country.....Let's all loot and swell offshore accounts!! This 'Aman ki Asha' has taken too many Indian lives, lets sacrifice few more for NDTV and TOI bastards in collaboration with shameless Con-gress party!
     
    Vishwarupa, parijataka and johnnyboy like this.
  11. mayfair

    mayfair Elite Member Elite Member

    Joined:
    Feb 26, 2010
    Messages:
    2,584
    Likes Received:
    1,760
    Location:
    India
    Bugger me sideways...what next? Allow Pakis to live, work and settle here?

    :spit:
     
  12. LETHALFORCE

    LETHALFORCE Moderator Moderator

    Joined:
    Feb 16, 2009
    Messages:
    20,543
    Likes Received:
    6,547
    This government has lost it, how much money does a country living on aid have to invest?
     
    parijataka likes this.
  13. Yusuf

    Yusuf GUARDIAN Administrator

    Joined:
    Mar 24, 2009
    Messages:
    24,274
    Likes Received:
    11,283
    Location:
    BANGalore
    Haha, a paki garment "major" is planning 200 stores in India.
     
  14. SADAKHUSH

    SADAKHUSH Senior Member Senior Member

    Joined:
    Sep 7, 2010
    Messages:
    1,802
    Likes Received:
    758
    Location:
    Winterland
    It could work both ways. Since China has withdrawn from two major projects, Pakistan might be forced to open investment from India as well. Whether Indian companies take up on the offer is different thing altogether. Who in Pakistan has money other than drug dealing PA and ISI? May be President Zardari will bring his offshore money to India and ask for political asylum down the road? He will be given congress party membership upon doing so to prove our secularism.

    Such a bloody wrong move, I will try to reverse with a magi wand.
     
  15. hit&run

    hit&run Elite Member Elite Member

    Joined:
    May 29, 2009
    Messages:
    5,495
    Likes Received:
    4,671
    Hope they will send some white skinned beautiful Pakistani Chicks as well.

    [​IMG]
     
  16. Bangalorean

    Bangalorean Stars and Ambassadors Stars and Ambassadors

    Joined:
    Nov 28, 2010
    Messages:
    6,207
    Likes Received:
    6,497
    I really hate this. Pisses me off no end!

    What have the Pakis done for the "warmth" to set in? When 26/11 happened, we were all angry and vowed not to have anything to do with that pathetic country till they acted on the masterminds. Now, that pig Hafiz is still roaming free there, as are the other ringleaders. And we climb down with all this stupidity of "Aman-Ki Asha".

    What guaraentees are we receiving from the Pakis? Are they doing something tangible against terrorists or terrorism? Why are we making so many overtures towards that failed terrorist state?

    This Paki business "major" made a statement yesterday, that in order for good relations, India must act with "maturity" when terrorist attacks occur. What a cretin! And we want to allow such people in India.
     
    maomao, parijataka and johnnyboy like this.
  17. parijataka

    parijataka Senior Member Senior Member

    Joined:
    Oct 15, 2011
    Messages:
    4,893
    Likes Received:
    3,688
    Location:
    Bengaluru
    Now, Pakistanis can invest in India

    Aman ki asha extended, group hug for all. Investment allowed in sectors such as real estate, stock market, energy, etc and multiple entry business visas. Only business Pakistanis would have is scouting for bomb blasts and terror attacks.

    Now, Pakistanis can invest in India
     
    Galaxy and A chauhan like this.
  18. parijataka

    parijataka Senior Member Senior Member

    Joined:
    Oct 15, 2011
    Messages:
    4,893
    Likes Received:
    3,688
    Location:
    Bengaluru
    Re: Now, Pakistanis can invest in India

    Pakistan welcomes India's move to allow investment from there
     
  19. A chauhan

    A chauhan "अहिंसा परमो धर्मः धर्म हिंसा तथैव च: l" Senior Member

    Joined:
    Oct 10, 2009
    Messages:
    4,928
    Likes Received:
    4,563
    Location:
    Raipur
    Re: Now, Pakistanis can invest in India

    :facepalm: and we were talking that we shouldn't play Cricket matches with them!
     
  20. ani82v

    ani82v Senior Member Senior Member

    Joined:
    Jul 6, 2012
    Messages:
    1,006
    Likes Received:
    706
    Location:
    Bangalore
    Re: Now, Pakistanis can invest in India

    This has no consequence to India. Its only a side show, doesn't deserve our attention.
     
  21. lcatejas

    lcatejas Regular Member

    Joined:
    Nov 19, 2010
    Messages:
    710
    Likes Received:
    255
    Location:
    Bharat
    Re: Now, Pakistanis can invest in India

    Pakistan is already investing in India its a old news.... pak sponsored terrorism by proxy network now they will invest easily...:mad:
     

Share This Page