Government mulls raising FDI limit in print media to 49 per cent

NEW DELHI: The government is considering a proposal to increase foreign direct investment ( FDI) limit in print media sector to 49 per cent from 26 per cent at present.

Currently, the FDI policy permits 26 per cent foreign direct investment in the publishing of newspapers and periodicals dealing with news and current affairs through government approval route.

According to sources, the government has started a consultation process on the matter with an aim to attract more foreign funds in the sector.

Last year, the government relaxed FDI norms in several sectors, including civil aviation, defence, private security agencies, pharmaceuticals and food processing industry.

During 2015-16, foreign direct investment (FDI) in the country increased by 29 per cent to $40 billion, from $30.93 billion in the previous fiscal.

Foreign investments are considered crucial for India, which needs around $1 trillion for overhauling its infrastructure sector such as ports, airports and highways to boost growth.

Foreign investments will help improve the country's balance of payments situation and strengthen the rupee value against other global currencies, especially the US dollar.