New Delhi - Xinhua
India\'s cabinet has given the green light to foreign investors to take up to 51 percent stakes in multi-brand retail stores later Thursday after a meeting chaired by Prime Minister Manmohan Singh, said a report by the Indo-Asian News Services.The Indian central government also allowed foreign players to hold 100 percent of single-brand retail businesses up from the current ceiling of 51 percent, said the report.However, the government hasn\'t released any formal announcement on the big-ticket decision.Anand Sharma, Minister of Industry and Commerce was quoted saying that \"We will make a statement in the parliament.\"The opening-up of retail sector will bring multi billion U.S. dollars of business opportunities to international supermarket operators like Wall-Mart, Carrefour, TESCO and others.India\'s decision-making body on foreign direct investment, the Department of Industrial Policy and Promotion with the Ministry of Commerce and Industry, has pushed for the liberalization citing access of new technology, improvement of supply chain, more competition and other benefits.Still, the approval of foreign multi-brand stores faces strong and long-lasting political opposition on the ground of possible collapse of mom-and-pop shops and hurt of farmers\' interests.Now, the Indian government is forced to seek fresh solutions to tame persistent inflation via increased efficiency in transportation and adjustments in the supply side.India allowed foreign investors to have 100 percent stakes in wholesale cash-and-carry chain stores in early 1997 and approved up to 51 percent foreign investment in single-brand retail stores in 2005.