New Delhi: Union Cabinet approved a plan on Thursday to enable 100% direct foreign investment (FDI) in a government-managed oil company where strategic stock sales were announced, steps to help privatize Bharat Petroleum Corp, said two government sources.
“Foreign investment of up to 100% below the automatic route is permitted in cases where the government has approved the Principal Agreement to be disintegrated strategic PSU (public sector business) engaged in oil and natural gas,” said one source.
India has so far allowed 49% of direct foreign investment in the oil and gas company managed by the state.
The government wants to sell 53% of its shares in BPCL, refilling the second largest country, in this financial year ended in March 2022, as part of a plan to collect Rs 1.75 lakh crore ($ 23.5 billion) from the company’s shares.
The government makes it easy for foreign investment rules to assist BPCL sales: Reports
