Indian Prime Minister Narendra Modi’s government could allow foreign direct investment in the country’s e-commerce sector as early as next month, paving the way for global online retailers such as Amazon to expand their business, according to a Reuters report.
A more robust online retail sector will spur manufacturing and help an economic revival, Reuters quoted a government insider as saying.
An announcement is expected in next month’s budget.
India currently bans global online retailers from selling goods directly to customers but allows them to own 100 percent of a marketplace business, where third-party suppliers can use their platform.
Both Amazon and eBay use such a platform to operate in the country.
India’s commerce and industry ministry has declined to comment.