Govt to fast track Chinese investment proposals after FDI changes: Report

India plans to fast track the review of some investment proposals from neigbouring countries such as China following concerns new screening rules could hit plans of companies and investors, three sources told Reuters on Saturday.

To avoid opportunistic takeovers during the coronavirus outbreak, India said this week that all foreign direct investment from countries sharing a land border would require prior government clearance, meaning they can’t go through a so-called automatic route.

Advisers to Chinese firms have said they are concerned the process could take several weeks and hit deals and investment timelines. Auto firms such as SAIC’s MG Motor and Great Wall, and investors Alibaba and Tencent have placed major bets on India.

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The Chinese Embassy in New Delhi has called the new screening policy discriminatory.

A senior Indian government source who is involved in policymaking told Reuters that New Delhi will try to approve any investment proposal in a non-sensitive sector within 15 days when the stake being bought is not significant.

The official declined to elaborate on which sectors

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More grief for Franklin Templeton investors as FoFs see sharp drop in value

investors may have to brace for another blow, with six of the fund house’s debt schemes having seen erosions of between six per cent and 25 per cent in their net asset values (NAVs). The six are so-called fund of fund (FoF) schemes, which invest in a basket of other mutual funds. The FoFs had varying degrees of exposure to the Franklin schemes that the fund house wound up, citing heavy redemption pressure amid illiquid market conditions.

Franklin Life Stage FoF 50s Plus has seen the deepest drop in NAV at 25.2 per cent, followed by Franklin Multi-Asset Solution Fund at 22 per cent and Franklin Life Stage at 17.8 per cent. The asset under management (AUM) of five of the six FOFs is less than Rs 25 crore. Franklin Dyanmic Asset Allocation FOF, which had an AUM of Rs 878 crore, has seen nearly 17 per cent drop in NAV.

“Pursuant to decision to wind up Franklin India Short Term Income Plan and Franklin India Dynamic Accrual Fund, announced on April 23, 2020, the investments by the Fund of Fund Schemes in the above-mentioned underlying schemes that are wound up were

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