Cabinet approves relaxed FDI norms for single brand retail, coal mining, digital media

The Union Cabinet on Wednesday approved relaxed FDI rule for single-brand retailers, allowing them to start online sales and waiving the previous condition of setting up a mandatory brick-and-mortar store.

According to report in the Mint, the Cabinet, headed by Prime Minister Narendra Modi, has also expanded the definition of mandatory 30% domestic sourcing norm,.

The government has relaxed Foreign direct investment (FDI) rules in several other sectors including in coal mining and digital media. 

Commerce and Industry Minister Piyush Goyal, in the press briefing after the Cabinet meeting, said 100% FDI under automatic route in coal mining and associated infrastructure has been approved by the Cabinet. 

The Cabinet has also approved 100% FDI in contract manufacturing under automatic route has been allowed, he said.

He added that 26% FDI has been allowed in digital media.