The Union Cabinet yesterday, 24 November 2011 approved 51% Foreign Direst Investment (FDI) in the multi brand retail sector, according to reports. The government has also decided to raise the cap on foreign direct investment in single brand retailing to 100% from 51%.

This decision by the union cabinet to open the retail sector to FDI came amidst tough opposition from the two main alliances-Trinamool Congress and Dravida Munnetra Kazhagam- of the ruling Congress government.

Earlier, the Congress led United Progressive Alliance (UPA) government also allowed 26% FDI in the pension and aviation sector.