India relaxes foreign direct investment rules

New Delhi

INDIAN Prime Minister Narendra Modi eased restrictions on foreign direct investment across several sectors, including allowing overseas airlines to invest in state carrier Air India Ltd, in a bid to revive growth in Asia's third-largest economy.

Foreign carriers can buy up to 49 per cent in the loss-making national airline, the government said in a statement. In a move aimed at further improving ease of doing business, the cabinet also allowed single-brand retailers to start local operations without federal approval and foreigners can own up to 100 per cent in real estate brokerages.