Pension funds could soon be able to attract foreign investment. On Wednesday the union cabinet approved an amendment to the pension bill. The Pension Fund Regulatory and Development Authority Bill 2011 caps FDI in the sector at 26%. But the government retains the right to increase this limit, since it’s not actually part of the bill. Earlier, a parliamentary standing committee had recommended keeping the 26% limit in the bill. Its revised draft will be introduced during the upcoming winter session of parliament.
India’s top phone company has indicated it believes the industry needs consolidation. Sanjay Kapoor, who’s Bharti Airtel’s CEO for India and South Asia, said consolidations would improve margins. India’s telecom industry is characterized by low rates and cut-throat competition.
With the value of the rupee plunging almost everyday, authorities could decide to intervene. On Wednesday finance minister Pranab Mukherjee said the Reserve Bank was monitoring the situation and would act if necessary. Earlier, RBI had said it would intervene in currency markets only to deal with volatility.
And finally, a check on the markets. Indian bourses ended in the red for a fifth day in a row. The Sensex ended at 16776 lower by 107 points. And the Nifty ended at 5030 lower by 38 points.