Relaxation of limits on foreign direct investment in several key sectors such as civil aviation, insurance and telecom services was not a priority and the government would go slow on these proposals even after the elections, top government sources said.

"We do not see any need to hurry through these proposals. First, there hasn't been a significant pick-up in FDI inflows over the years despite relaxation of caps and policies. On the other hand, we have found that the quality of FDI has only improved," the sources said, adding, "there may not be a drastic change in the near future".

Policy-makers in the department of industrial policy and promotion in the commerce ministry said there was no major movement to open up sectors any further as far as FDI was concerned.

"We are awaiting the recommendations of the administrative ministries in several cases. We will take a decision only after we receive their consent," they said.

According to insiders, it was clear from the delay in receiving the recommendations from the administrative ministries that there was reluctance on their part due to policy constraints. Hence, it may not be prudent to push through any proposal.

"Moreover, if there is no quantitative value addition to the current FDI levels, there is no point in opening up sectors which some departments in the government still consider strategic," the government source said.

Mobile telephony, insurance and civil aviation are still considered sensitive sectors by several sections of the government.

Moreover, the civil aviation companies worldwide are still recuperating from the aftershocks of 9/11, and there aren't too many companies interested in the country's civil aviation sector as of now.

Besides, the civil aviation ministry is currently preparing a civil aviation policy, and it is yet to decide on the FDI front.

"We do not expect the process to gain momentum after the elections as is being generally perceived. We are not in a hurry as we do not feel this is a priority," the officials said.

Door closed

• There has not been any significant pick-up in FDI inflows over the years despite relaxation of caps and policies, say government sources.
• Delay in receiving the recommendations from the administrative ministries makes it clear that there is reluctance on FDI on their part due to policy constraints, say insiders.
• There is no quantitative value addition to the current FDI levels and there is no point in opening up strategic sectors, sources point out.
• The civil aviation ministry is currently preparing a civil aviation policy and it is yet to decide on the FDI front.