Indian Telecom Commission approved 100% FDI in Telecom sector to shore up investor confidence and kick-start growth in the sector. The FDI is going to be helpful for Indian Telecom sector players to handle their debt effectively and trigger investment cycle. Post 2G license cancellation and slew of regulatory enforcement, Indian Telecom sector experience unprecedented fall in investor and investment confidence by the ecosystem players. Reeling under Fiscal Deficit, CAD; government is considering all avenues to get inflows to protect country rating which is under downgrade threat. Good move coupled with simultaneous concern raised by security and MHA to allow 100% FDI. The concern is definitely going to delay approval by another year. It is surprising that different regulatory body release their segregated reviews rather than offering consolidated recommendation post discussion with all stakeholders. Investors already feel that policy uncertainty is too high and any investment in Telecom sector may be stuck in future. I feel that Indian Telecom sector need streamlined clear policy roadmap compared to FDI approval. It is highly expected that there will be little to no investment in sector till policy and licensing aspects are crystal clear
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