Unlike in previous years, when policy options were scattered through the Economic Survey, this time they have been stated upfont.
It revisits the controversy on FDI in retailing and wants some equity to be given to foreign investors in all retail sectors, and 100 percent FDI allowed in consumer durable, semi-durable and luxury brand chains.
It makes a case for 51 percent FDI in special category insurance firms providing health and weather cover to rural residents, while renewing the call for raising the limit to 49 pecent in other areas.
In Banking, it wants 100 percent FDI in new private rural agricultural banks with freedom to takeover other private sector banks. As an incentive, it wants them to be allowed to freely expand in small towns
In a comment on state-owned ONGC and Oil India, the survey says old oil blocks should be sold to the private sector for application of enhanced oil recover techniques.
The Survey endorses the demand of labour-intensive and rupee-hit sectors, like garment exporters, for an increase in the working week to 60 hours, through an amendment to the factories act, so that they can meet seasonal demand.
It says that controls on sugar, fertiliser and drugs should be phased out.
It re-iterates the call made in the economic survey of 2005, to amend the coal mines nationalisation act to allow regulated private entry into coal mining.
The survey makes a strong case for disinvestment. It wants all unlisted PSUs to be listed with 10 percent equity sold to the public and the process of disinvestment of 5-10 percent equity in other non-navratnas completed.
It renews the call for a separate bankruptcy provisions in company law to speed up quick exit of failed managements.
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