Left opposes FDI changes

The Left parties on Wednesday strongly criticised the government on new policy changes on Foreign Direct Investment (FDI), including allowing investments in Air India, saying it is against the country's interest.

In a statement, the CPI(M) Politbureau said the decision to ease FDI in retail trade will have harmful consequences for domestic retail traders and shopkeepers.

The party said the BJP has "hypocritically reversed its position" on FDI after being in government. It reminded that the BJP, while in Opposition, was against the entry of foreign companies into retail trade.

This will also lead to the government moving towards allowing FDI in multi-brand retail trade, it said.

On allowing 49% investment by foreign airlines in Air India, the party said it strongly opposes the decision.

"Having taken the decision to privatise Air India, the Modi government is now moving towards handing over Air India to a foreign airline.

"The government should heed the recommendation of the Parliamentary Standing Committee...which has asked the government to review its decision on privatisation of Air India and provide five years to revive the airline with its debt written off," it said.

CPI national secretary D Raja also described the FDI decisions as "dangerous".

He told DH, "this is nothing but brazen move to privatise the entire Air India. Air India has tremendous potential. It can emerge as the best airline in the world and be profitable. Air India's problems are because of government's wrong policies and mismanagement. It is a national treasure and the government is gradually selling it."

The Forward Bloc condemned the decision to allow 100% FDI in the retail sector.

"The Cabinet has given its green signal for opening this vital sector to the greedy corporate foreign monopolies by ignoring the popular opposition," Forward Bloc secretary G Deverajan said.