INDIAN GOVERNMENT FINDS THE GOING RELATIVELY EASY

Despite fears to the contrary, the BJP-led government managed to get its motions to pass a couple of pieces of legislation in the Upper House of Parliament through without much trouble last week. Just two weeks ago, the government had faced the House's a walk out from the Lower House when it moved to get Parliament's clearance for the The Insurance Regulatory and Development Authority (IRDA) Bill.

With the ratification of the Bill by Parliament, private companies will now be able to enter the insurance sector and the Insurance regulator has been provided statutory status. The Upper House also cleared the Foreign Exchange Management Bill (Fema) Bill. Both the Bills had earlier been cleared in the Lower House two weeks ago.

Meanwhile the government is believed to be considering a proposal to allow foreign companies to enter the print media sector. Government officials have continuously emphasised the need to introduce a draft Broadcasting Bill in the Budget Session of Parliament. It envisages a reduction of restrictive provisions and encouraging private sector to invest in broadcasting. The Bill is likely to allow a maximum 49% foreign equity investment.