26% FDI in FM radio likely to get Cabinet nod

The Union Cabinet will soon take a final view on the recommendation of the Committee of Secretaries for permitting 26 per cent foreign direct investment (FDI) in FM radio.

Sources say the Cabinet is likely to give its consent to a hike in FDI limit on FM radio from 20 per cent to 26 per cent.

The Committee of Secretaries (CoS), headed by the Cabinet Secretary, has agreed to the increase earlier this month.

The Telecom Regulatory Authority of India had in late June recommended foreign investment limits for FM radio to be 26 per cent. Interestingly, it had in January recommended FDI of 49 per cent in the consultation paper, but reduced it to 26 per cent in the final report.

It is also learnt that to prevent any chances of corruption, FM radio frequencies may be sold via an e-auction, according to the CoS recommendation.

Source: Indiantelevision.com