Enhancement of Foreign Direct Investment ceiling from 49% to 74% in the Telecom Sector — Amendment to Press Note 5 (2005 Series) - FEMA - 05/2006

Government of ndia Ministry of Commerce Industry Department of Industrial Policy Promotion SIA (FC Division) PRESS NOTE NO. 5 (2006 SERIES) Subject :- Enhancement of Foreign Direct Investment ceiling from 49% to 74% in the Telecom Sector — Amendment to Press Note 5 (2005 Series) Guidelines for enhancement of Foreign Direct investment (FDI) ceiling in the telecom sector were notified vide Press Note 5 (2005 Series) on 3.11.2005. in terms of Para 4 of the said Press Note, an initial correction time of 4 months from the date of issue of the Press Note was allowed to the existing licensee companies providing telecom services for ensuring adherence to the conditions. The Government has decided to extend the time limit for the telecom service provider companies to comply with the conditions set out in Press Note 5 (2005 Series) by four months w.e.f. from 3.3.2006, i.e, till 2.7.2006 Press Note 5(2005 Series) dated 3.11.2005 stands modified to the above extent. (Umesh Kumar) Joint Secretary to the Government of India F. No. 9(1)12002-FC dated 3 March 2006