The Hindu Business Line : Professional degrees: India for mutual recognition pact with UK

India has sought from Britain the recognition of professional degrees albeit on a reciprocal basis, even if it means exchanging only a short list of institutes and universities initially, the Commerce and Industry Minister, Mr Anand Sharma, said here on Thursday.

India has also called for a dialogue between its professional bodies and that of Britain in the fields of accountancy, legal and financial services, Mr Sharma told reporters after a bilateral meeting with Dr Vincent Cable, Secretary of State for Business, Innovation and Skills, UK.

“Both the Governments are engaged in addressing these issues,” he said.

Immigration issues

India also expressed concerns over a proposed immigration cap on non-European Union citizens.

Pointing out that many Indian entities are present in UK's private sector and that they are the largest employment providers in UK, Mr Sharma said, “Given the large presence of Indian companies in UK, that want to use London as a hub for Europe, there should not be any impediment in the free movement of professionals.” He said UK officials have taken India's concerns on board.

India and UK signed an MoU on bilateral cooperation and economic engagement.

The priority sectors identified are infrastructure, clean technologies, geo-technologies, skills training, innovation and manufacturing, Mr Sharma said.

Financial Sector

On UK's demand to liberalise the financial sector, Mr Sharma said there has been an incremental and calibrated opening up of India's banking sector. “We have gone well beyond the commitments made in the WTO,” he said, adding that of the over 245 branches of foreign banks functional in India, 145 are British banks including HSBC, Barclays and Stanchart.

On relaxing the FDI limit in the insurance sector from the present 26 per cent, he said, the Insurance Bill is being examined by a Parliamentary Standing Committee. “Once Parliament passes it, it will become the new Insurance Act which will allow 49 per cent FDI,” he said.

Meanwhile, Invest India and the UK Trade and Investment signed an MoU to promote bilateral investment. Invest India is a joint venture of the Department of Industrial Policy and Promotion, state Government and the industry body FICCI, while UKTI, is a UK Government body.

British investments in India are in excess of $18 billion and Indian investments in the UK are over $20 billion, Mr Sharma said.

arun.s@thehindu.co.in