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New Delhi : The Union Cabinet chaired by PM Narendra Modi has given its approval to the phasing out of Foreign Investment Promotion Board (FIPB). The proposal entails abolishing the FIPB and allowing administrative Ministries/Departments to process applications for FDI requiring government approval.
Henceforth, the work relating to processing of applications for FDI and approval of the Government thereon under the FDI Policy and FEMA, shall now be handled by the Ministries/Departments concerned in consultation with the Department of Industrial Policy & Promotion(DIPP), Ministry of Commerce, which will also issue the Standard Operating Procedure (SOP) for processing of applications and decision of the Government under the extant FDI policy, according to a PIB release. The move will provide ease of doing business and will help in promoting the principle of Maximum Governance and Minimum Government.
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