05 December, 2020

FDI: From Flip To Flop

Global investors are asking, 'If the Tatas couldn't get through, what chance do we stand?'

FDI: From Flip To Flop

GLOBAL business is not merely kvetchy about New Delhi, it's starting to show signs that it might be losing patience with the indecisiveness of the latter's polcies and the protectionist prattle of the Indian business classes toward western investments in India. And the recent incident of the house of Tatas throwing in the towel over a prestigious and expensive air -line project with a Singaporean tie-up is no mean reason behind the latest distress.

That's the most stunning and recent example being frequently cited by several Wall Street analysts and executives in US and British corporations. Their usual cynical comment on economic and business prospects in India is: "If the Tatas can't get their project approved, what chance in the world do we have?"

The decision by Ratan Tata to abandon his airline project in the face of government indecision comes at an awkward moment. Just as foreign investment in the Mumbai market is picking up substantially, and just when direct investment too is beginning to come in after long...



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