I&B Ministry
Government rules out FDI in FM sector
NEW DELHI: The move will disappoint private players, but the government has formally ruled out any possibility of foreign investment in the private FM radio sector.
“No,” was the cryptic reply from information and broadcasting minister Jaipal Reddy to a question posed by indiantelevision.com, today, on whether the government would allow foreign direct investment in the sector.
One of the suggestions of the sector regulator, based on feedback from the stakeholders, was that the government could review the foreign investment norms for the FM radio sector.
At the moment, foreign investors are barred from this segment, while foreign financial institutions can invest in FM radio ventures as per Reserve bank of India guidelines pertaining to the sector.
The I&B ministry has also sent back its views on a set of suggestions on FM radio expansion to the Telecom Regulatory Authority of India (Trai), saying “certain points need to be discussed further.”
It is interesting to note that officially the government has not taken a view on Trai’s recommendations for either the FM radio sector or those pertaining to TV broadcast, DTH, conditional access, etc.
Speaking to indiantelevision.com on the sidelines of the Economic Editors’ conference here today, Reddy added that some other recommendations of the broadcast and cable regulator relating to FM radio are being discussed with Trai.
Asked whether the government would accept a Trai suggestion on migration of private FM radio players from a licence regime to revenue sharing, Reddy said, “All I can say at this moment is that it’s under consideration.”
According to Reddy, the ministry would try to get cabinet clearance on various issues relating to FM radio broadcasting in a couple of weeks.
“The second phase of expansion of FM radio is in a fairly advanced stage and we are likely to seek Cabinet approval (on some issues) in the next two weeks,” Reddy said.
In this connection, the ministry would also speak to a merchant banker to help it out with financial issues relating to the sector.
Pointing out that the merchant banker would be finalised over the “next few days,” Reddy said, “We want to avoid the financial pitfalls (faced by the earlier government) and the merchant banker would be able to guide us properly.”
The minister earlier had observed that despite the radio revolution being started by the previous government, certain policy decisions had impeded the growth of FM radio as well as community radio services.
With a view to kickstart the community radio services, which have failed to take off because of prohibitive policy guidelines, Reddy said the government is looking at “re-framing the guidelines” for such radio services.
“We are talking to other ministries like home and telecommunication, but we feel that the community radio guidelines need to rationalised as, at present, they are too restrictive,” Reddy explained.
The government is of the opinion that if the right type of investment climate is created, there is scope yet for about 400 and 4,000 private FM and community radio stations, respectively in the country.
I&B Ministry
MeitY extends deadline for feedback on digital media rules overhaul
Government gives stakeholders more time to respond to proposed changes in intermediary guidelines.
MUMBAI: When the rulebook gets a rewrite, even the internet needs a little extra time to read the fine print. Regulators have extended the deadline for public feedback on a proposed overhaul of India’s digital media and intermediary liability framework, giving stakeholders until April 29 to submit their views. In a notice issued on April 10, the Ministry of Electronics and Information Technology (MeitY) said it was extending the consultation period for draft amendments to the Information Technology (Intermediary Guidelines and Digital Media Ethics Code) Rules, 2021, following representations from several stakeholders.
At the heart of the proposals is a significant shift in how social media platforms and other intermediaries must respond to government communications. A new provision would make compliance with official “clarifications, advisories, directions, standard operating procedures and guidelines” a formal part of the due diligence obligations required to retain safe harbour protection under Section 79 of the Information Technology Act.
The amendments would also expand the scope of content oversight under Part III of the rules. The digital media ethics code would now apply not only to publishers but also to intermediaries hosting or transmitting user-uploaded news and current affairs content. This could bring user-generated news more directly under regulatory scrutiny.
Additionally, the Inter-Departmental Committee’s powers would be broadened, allowing it to take up matters referred directly by the ministry rather than waiting for formal complaints. This signals a more proactive approach to content monitoring.
The existing IT Rules already impose strict requirements on intermediaries, including timely removal of unlawful content, grievance redressal mechanisms, and traceability in certain cases. Recent updates have also introduced obligations around labelling synthetically generated content.
Officials have described the amendments as necessary to create an “Open, Safe, Trusted and Accountable Internet” while improving legal clarity and enforceability.
With the extended deadline now set for April 29, the government has given industry bodies, civil society, and digital platforms additional time to respond to changes that could significantly reshape how online platforms operate and are governed in India.
In the fast-scrolling world of digital regulation, a little extra time to read the small print might just prevent bigger headaches down the line.
