Magazine date:
Nov 2012 In an effort to boost a slowing economy, the Indian government is encouraging foreign investments in insurance and pension plans. Similar measures have been adopted in civil aviation and in distribution sectors. The parliament will have to validate this reform which expects foreign shareholders’ participation to rise from 26% to 49%.
Pension plans, previously inaccessible to foreign investors, is now open up to 26% of the capital.
Such measures, however unpopular, resulted from the decline of GDP growth in the third quarter of 2012 to 5.5% while it was 10% in previous periods.