Wednesday, May 28, 2008

New aspects of capital controls

The `Indian Corporate Law' blog links to a story in the Economic Times which says that one factor why the Bharti/MTN transaction fell apart was: India's 75% restriction on foreign ownership of telecom companies. That fits in the larger theme of India's 21st century firms hitting limitations owing to 20th century controls.

They also have a story on a possible first Indian Depository Receipt (IDR) from Standard Chartered Bank. If it comes through, that would be cool. But that's going to take quite a few changes by SEBI and RBI to the existing policy framework for IDRs (which have helped ensure zero foreign listings in India).

No comments:

Post a Comment

Please note: Comments are moderated; I will delete comments that misbehave. The rules are as follows. Only civilised conversation is permitted on this blog. Criticising me is perfectly okay; uncivilised language is not. I delete any comment which is spam, has personal attacks against anyone, or uses foul language.