Foreign Direct Investment: The Conundrum Explained

By Bhumesh Verma, Managing Partner, Corp Comm Legal.

Foreign Direct Investment or FDI, as it is called in common parlance, has become the fuel which is essential to sustain and develop any country’s economy. Developing countries such as India, require significant and consistent infusion of foreign investments in their economy in order to maintain a high GDP rate. The demands of the ever-growing consumerist culture are also satiated by the influx of FDI. Sectors such as infrastructure, retail, aviation, pharmaceuticals, etc. require continuous cash flow for their sustenance. A liberal FDI regime allows companies existing within such sectors to look for financial assistance outside the country. This ensures that the country’s economic development does not suffer due to lack of financial resources within the country. The authors explain the essentials of the FDI regime in India through this article. (more…)

Foreign Direct Investment in Retail: II

By Aashna Jain, National Law University, Jodhpur.


This write-up seeks to examine the economic progress made by the country in the field of FDI in retail. This article seeks to examine the socio-economic constraints in introducing FDI in Retail in India. Also the impact that FDI has on the Indian Sub-continent particularly its markets will be carefully analyzed. Also this article gives some policy suggestions to promote healthy development of FDI in Retail in India. (more…)

Railways and Privatisation: FDI is the Name of the Game

By Neelanjana Paul, KLE Society’s Law College, Bangalore.

Understanding Privatisation and FDI

The economy of India had undergone significant policy shifts in the beginning of the 1990s. This new model of economic reforms is commonly known as the LPG or Liberalisation, Privatisation and Globalisation model. The primary objective of this model was to make the economy of India the fastest developing economy on the globe with capabilities that help it match up with the biggest economies of the world. (more…)

Foreign Direct Investment in India: I

By Aashna Jain, National Law University, Jodhpur.


FDI in Defence- Recent Development

It was December 2014 and the debate on the topic of FDI in Defence got heated up.

“The biggest and the most immediate fallout from Prime Minister Narendra Modi’s visit to the United States should be this: India allows 100 per cent FDI in defence. This is the crying need of the Indian armed forces, neglected for decades, if the national security issues have to be redressed hundred per cent.”[1] (more…)

Protectionism Instead of Facilitation, Indian Stand at WTO: How far justified?

By Sudipta Bhowmik, KIIT School Of Law, Bhubaneswar.

Behind the extremely technical debate within the WTO, what is at stake above all are models of agricultural development.[1] -Dr. Bruno Losch 

“Trade can be a powerful force for growth and poverty reduction. Countries that have increased the share of trade in their GDP have grown faster and reduced poverty more rapidly”[2]Nicholas Stern


The establishment of World Trade Organization (WTO) is a drift towards globalization of world economy. Except agriculture, WTO advances its wing to every sector. Controversies and misconceptions are entangled with the issues of agriculture subsidy and trade facilitation, while developed countries like USA and EU have championed the cause of ‘free-trade’, on the other hand, developing countries like India have adhered to agricultural subsidies. India’s stand at Bali approved it again how agriculture subsidy is a burning issue for a developing country and it cannot be set aside as ‘evil’ at the cost of trade facilitation. Before WTO, eight trade negotiations were materialized by General Agreement on Trade and Tariffs(GATT) and in those rounds, developed countries steered the directions of trade and developing countries were ignored.[3] But, now the developing countries are demanding for revision of the agriculture policies taken by developed countries. (more…)