Cabinet okays IKEA's investment proposal

 The Indian government Thursday approved the Swedish furniture firm IKEA's Rs.10,500 crore investment proposal in single brand retail business.

The Cabinet Committee on Economic Affairs chaired by Prime Minister Manmohan Singh cleared the proposal at a meeting here.

"The Cabinet Committee on Economic Affairs today gave its approval to the proposal of M/s. Ingka Holding B.V., Netherlands, as recommended by the Foreign Investment Promotion Board (FIPB)," an official statement released after the meeting said.

"The approval would result in FDI inflows amounting to Rs.10,500 crore approximately into the country," it said.