Swedish retailer Hennes & Mauritz has received final approval from the Foreign Investment Promotion Board (FIPB) to invest Rs. 720 crore in the country.
The fashion retailer had said in April this year it plans to open 50 stores in India, hoping a growing population and rising incomes in Asia’s third-largest economy would fuel demand for its fast-changing fashions. The approval will allow the company to set up a wholly-owned subsidiary in the country, the government said in a statement on Monday.
India permitted foreign single-brand retailers to own 100 per cent of their Indian operations in January, 2012 and Swedish furniture chain IKEA was one of the first to receive an approval for its investment plans in May this year.
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