PM, Pranab meet ahead of Tuesday’s proposed all-party meeting to end parliament logjam

New Delhi, Nov. 28: With a united opposition demanding the immediate rollback of a government decision on 51 percent Foreign Direct Investment (FDI) in multi-brand retail, Prime Minister Dr. Manmohan Singh is reportedly holding parleys with Finance Minister Pranab Mukherjee here this evening to chalk out strategy for Tuesday’s proposed all-party meeting on this issue and to look for ways to end the logjam in parliament.

Times Now reports that both senior leaders are holding an emergency meeting in the wake of proceedings in parliament being stalled for the last five days over the FDI and price rise issues.

Earlier in the day, the Prime Minister called on President Pratibha Devisingh Patil to brief her on latest developments in parliament and other issues of national import.

On Monday, parliament was adjourned till Tuesday after the opposition entered the Wells of both Houses to vociferously express its strong resentment against the decision to allow 51 per cent FDI in multi-brand retail.

A Cabinet decision to this effect was taken last Thursday, and if the proposal sees the light of day, it would allow global retailers like Wal-Mart, Carrefour and Tesco to open outlets in India.

The Cabinet also decided to remove the 51 per cent cap on FDI in single brand format under which companies in food, lifestyle and sports business run stores. Owners of brands like Adidas, Gucci, Hermes, LVMH and Costa Coffee can now have full ownership of business in India.

Foreign Direct Investment (FDI) or foreign investment refers to the net inflows of investment to acquire a lasting management interest in an enterprise operating in an economy other than that of the investor.

It is the sum of equity capital, reinvestment of earnings, other long-term capital, and short-term capital as shown in the balance of payments. It usually involves participation in management, joint venture, transfer of technology and expertise. (ANI)