Delhi: The Left parties will oppose the hiking of
foreign direct investment (FDI) caps in aviation, insurance
and telecommunications. They would block in parliament
Bills that might effect the hike, Left Front sources said
yesterday after a meeting of the CPI (M) Politburo.
CPM and the CPI had exhaustive discussions on the subject
yesterday. Other partners of the Left Front were likely
to meet to decide a common strategy on the issue, Revolutionary
Socialist Party leaders said.
Left is faced with carrying out a seemingly impossible
balancing act of preventing the Congress-led United Progressive
Alliance government from falling in Parliament
which it will, if they persist in opposing the Finance
Bill, which effects the hike in FDI caps and being
consistent in their long-term opposition to such a hike.
things may never come to that, since the Finance Bill
is unlikely to refer to FDI caps in aviation and telecommunications.
the Left, sensing the chance to start a political agitation,
was full of fervour. "We are against privatisation
and we will oppose it (the hike in FDI limits) in parliament,"
the leader of the trade union wing of the CPM, MK Pandhe,
was another view. Sitaram Yechury, CPM Politburo member
said the matter would first be discussed with the government.
"There will be discussions with the government on
what kind of amendments are required in the Finance Bill,"
said the party would demonstrate outside Parliament. "We
will try and persuade the government to see our point
of view," he said.
view was echoed by the CPI leader AB Bardhan, who told
reporters in Lucknow that the Left Front would press the
government to reconsider the decision but stopped short
of saying it would cause the government to fall.
government is likely to effect higher FDI caps in telecommunications
and aviation through executive orders. But in insurance
the Insurance Regulatory Development Authority (IRDA)
Act will need to be amended because the law pegs the ceiling
at 26 per cent.