Modi govt considers easing rules to attract FDI in construction sector

Agencies

January 26, 2021

New Delhi, Jan 26: India is considering easing foreign investment rules for sectors ranging from construction to animation to lure overseas capital needed to create jobs in an economy cratered by the pandemic, people with knowledge of the matter said.

A proposal to allow limited liability partnerships to invest in the construction of townships, roads, hotels and hospitals is under discussion, the people said, asking not to be identified citing rules. A plan to allow 100% foreign direct investment in animation, visual effects, gaming and comics sector may also find mention in the government’s budget to be presented Feb. 1, one of the people said.

Allowing LLPs will open a new investment avenue at a time when the government of Prime Minister Narendra Modi is struggling to revive the economy from its worst annual contraction on record and generate employment in a country still shedding jobs months after the pandemic-induced lockdown. The government estimates India will require investment worth $777 billion across infrastructure for development by 2022.

A finance ministry spokesman did not answer a call made to his cellphone outside of business hours Tuesday.

The construction sector received FDI inflows worth $25.7 billion between April 2000 and September 2020, government data show. The relaxation in rules is also likely to help the Modi government get closer to its target of creating affordable housing for all in urban areas by 2022 and building 100 smart cities.

Currently, foreign investors have to meet certain conditions for investing in the construction development sector such as a three year lock-in period before exiting. Allowing LLP firms will afford the sector ability to receive foreign investments more easily, the people said.

Comments

Add new comment

Coastaldigest.com reserves the right to delete or block any comments.
Coastaldigset.com is not responsible for its readers’ comments.
Comments that are abusive, incendiary or irrelevant are strictly prohibited.
Please use a genuine email ID and provide your name to avoid reject.

Mangaluru Airport turns political stage: Congress workers chant for DKS as Venugopal arrives

News Network

December 3,2025

Mangaluru, Dec 3: A group of Congress workers gathered at the Mangaluru International Airport on Wednesday to welcome AICC general secretary K C Venugopal, but the reception quickly turned into a display of support for Deputy Chief Minister D K Shivakumar.

Venugopal arrived in the city to participate in the centenary commemoration of the historic dialogue between Mahatma Gandhi and Narayana Guru. The event, organised by the Sivagiri Mutt, Varkala, in association with the Mangalore University Sri Narayana Guru Study Chair, is being held on the university’s Konaje campus.

KPCC general secretary Mithun Rai and several party workers had assembled at the airport to receive Venugopal. However, the moment he stepped out, workers began raising slogans backing Shivakumar.

The university programme will be inaugurated by Chief Minister Siddaramaiah.

This show of support comes just a day after Siddaramaiah remarked that Shivakumar would lead the government “when the high command decides.” The chief minister made the comment after a breakfast meeting at Shivakumar’s residence—another public display of camaraderie between the two leaders amid ongoing attempts by the party high command to downplay their leadership rivalry.

Comments

Add new comment

Coastaldigest.com reserves the right to delete or block any comments.
Coastaldigset.com is not responsible for its readers’ comments.
Comments that are abusive, incendiary or irrelevant are strictly prohibited.
Please use a genuine email ID and provide your name to avoid reject.

Puttur's Healthcare Dream Cleared: State Finance Gives Nod for 300-Bed Hospital

News Network

December 2,2025

Puttur: The long-cherished dream of a government medical college in Puttur has moved a decisive step closer to reality, with the Karnataka State Finance Department granting its official approval for the construction of a new 300-bed hospital.

Puttur MLA Ashok Kumar Rai announced the crucial development to reporters on Monday, confirming that the official communication from the finance department was issued on November 27. This 300-bed facility is intended to be the cornerstone for the establishment of the government medical college, a project announced in the state budget.

Fast-Track Implementation

The MLA outlined an aggressive timeline for the project:

• A Detailed Project Report (DPR) for the hospital is expected to be ready within 45 days.

• The tender process for the construction will be completed within two months.

Following the completion of the tender process, Chief Minister Siddaramaiah is scheduled to lay the foundation stone for the project.

"Setting up a medical college in Puttur is a historical decision by the Congress government in Karnataka," Rai stated. The project has an estimated budget allocation of Rs 1,000 crore for the medical college.

Focus on Medical Education Department

The MLA highlighted a key strategic move: requesting the government to implement the hospital construction through the Medical Education Department instead of the Health and Family Welfare Department. This is intended to streamline the entire process of establishing the full medical college, ensuring the facilities—including labs, operation theatres, and other necessary infrastructure—adhere to the strict guidelines set by the Medical Council of India (MCI). The proposed site for the project is in Bannur.

Rai also took the opportunity to address political criticism, stating that the government has fulfilled its promise despite "apprehensions" and "mocking and criticising" from opposition parties who had failed to take similar initiatives when they were in power. "Chief Minister Siddaramaiah has kept his word," he added.

Comments