PFRDA Bill likely in Lok Sabha today
To woo opposition, govt has prescribed ceiling on FDI in legislation itself
The much-awaited pension reform bill is listed as a legislative business in the Lok Sabha today.
To woo the opposition, the government has already diluted its earlier
version in the Pension Fund Development and Regulatory Authority (PFRDA)
bill to prescribe the ceiling on foreign direct investment (FDI) in the
legislation itself, against the earlier decision to leave it to the
executive.
Though the bill capped the FDI ceiling at 26%, it also has a provision
to increase it in line with the insurance sector. FDI up to 26% is
currently allowed in the private sector insurance. The government is
trying to increase it to 49%, but the standing committee had recommended
retaining the cap at 26% only.
The pension watchdog--PFRDA is currently an interim body. The bill will give it a statutory status.
The bill was initially introduced in the Lok Sabha in March, 2005.
However, the Bill and the official amendments, based on the
recommendations of the Standing Committee on Finance, could not be
considered by the Lok Sabha, and the Bill lapsed on dissolution of the
14th Lok Sabha.
The PFRDA Bill,
2011 was introduced in the Lok Sabha on the 24th March, 2011 and the
present version is just a changed version following Parliament's
standing committee report.
courtesy : Business Standard
No comments:
Post a Comment