-The Hindu The inflows during 2020-21 have not been in sync with the Government’s priorities for economic recovery In an otherwise gloomy economic scenario, one area of cheer for the Government has been the numbers on inflows of foreign direct investment (FDI). In a recent press release, the Ministry of Commerce and Industry announced that “India has attracted highest ever total FDI inflow of U.S.$81.72 billion during the financial year 2020-21 and...

-Business Standard IMF study says investments in empty corporate shells in these nations by companies' hints at tax evasion New Delhi: In a recently released paper, the International Monetary Fund (IMF) has drawn the world’s attention to the rising menace of ‘Phantom foreign direct investment (FDI)’, defined as investment flows that pass through empty corporate shells that have no real business activity, with the intention to avoid paying taxes in their host...

-The Indian Express The Double Taxation Avoidance Agreement (DTAA) was signed between India and Mauritius in 1982. Under this, any entity could apply for tax residency and pay zero capital gains tax. This became the principal reason why Mauritius emerged as a top channel for investments being routed into India. After Swiss Leaks, Panama Papers and Paradise Papers, come documents from Mauritius — over 200,000 emails, contracts and bank statements that...

-The Hindu The pursuit of full employment of labour cannot primarily rely on domestic private investment, much less FDI. Only public investment will steady us in the long run. We are increasingly told that the inflow of capital — particularly the foreign direct investment (FDI) variety — increases employment levels and contributes to economic growth. In a rare interview given to The Wall Street Journal in May, Prime Minister Narendra Modi reinforced...

-The Indian Express The Union cabinet lacks a champion for agriculture Policymakers in the corridors of power in Delhi are feeling upbeat. There is recovery and resurgence in India’s stockmarkets. The Make in India campaign is getting more publicity and being noticed by foreign investors. FDI inflows are improving, and India’s ranking in the Ease of Doing Business index seems to be improving, as per some selective ratings. But agriculture, where almost half...