Now Reading: Analysts split on RBI-Centre move to attract foreign investors
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Analysts split on RBI-Centre move to attract foreign investors
The Story in Brief
Analysts are divided on measures by the Reserve Bank of India and the Finance Ministry to attract foreign investment, with industry body ASSOCHAM backing the policy push and brokerage Bernstein warning that tax concessions will not revive sustained foreign fund inflows on their own.
ASSOCHAM President Nirmal K Minda said the government and RBI were moving in the right direction, and the chamber welcomed the Income-tax Amendment Ordinance, 2026, which exempts foreign portfolio investments in government securities from tax on interest and capital gains from April 1, 2026. Bernstein, however, cut its December 2026 Nifty 50 target to 25,000 from 26,000, citing a deteriorating macroeconomic backdrop and lack of earnings upgrades.
ASSOCHAM also welcomed Finance Minister Nirmala Sitharaman's indication that investor feedback on long-term capital gains tax and securities transaction tax would be considered for the 2027-28 Budget. The industry body said it would continue working with the government, RBI and SEBI to strengthen India's appeal for long-term global capital.
Indian Opinion Analysis
Both pieces report ASSOCHAM's backing of the RBI and government measures, but Times Now features Bernstein's dissenting view as its headline and lead, that tax cuts alone won't revive foreign inflows, while The Hans India omits any analyst dissent entirely, presenting the industry body's support as unanimous. Times Now includes Bernstein's revised Nifty target and macro warnings, giving the story a cautionary tilt absent from The Hans India's uniformly positive framing of coordinated policy action. The balanced reading: ASSOCHAM welcomes the policy direction, but Bernstein flags insufficient growth and earnings improvement as barriers to sustained capital flows, a tension the latter source leaves out. Both note the Income-tax Amendment Ordinance, 2026 as a concrete step.
Coverage: 2 sources, 2 neutral
Sources (2): timesnownews.com (neutral report), thehansindia.com (neutral report)
This brief was synthesised by AI from the 2 sources linked above, so one read covers every framing they carry. Methodology and corrections.
