INDIA: Govt notifies 20 percent FDI in FM radio
Government to permit foreign investment in FM radio sector
Friday, November 18, 2005
Till now, foreign investment was permitted in terrestrial broadcasting up to 20% under the portfolio investment schemes under Foreign Exchange Management (transfer or issue of security by a person resident outside
Even as the government allowed FDI in the sector and decided on a revenue share regime earlier this year, it decided to continue the ban on news and current affairs. The first phase had proved to be disastrous for the growth of FM radio sector, where of the 108 frequencies put on bid, only 21 were operational. Two among the 21 have already given notice to close down. High licence fee was among the major reasons for this poor start.
Date Posted: 11/18/2005