ibnlive » India

Mar 29, 2012 at 09:38pm IST

Kudankulum, Sistema figures in Medvedev-Singh talks

New Delhi: Seeking to address concerns in Russia over cancellation of 2G licence involving telecom company Sistema, Prime Minister Manmohan Singh on Thursday assured President Dmitry Medvedev that the Government is making efforts to ensure safety of foreign investments in the country.

Singh and Medvedev reviewed the progress of Russia-built Kudankulam nuclear plant in Tamil Nadu, work on which was stuck for the past over six months due to protests, and is expected to be commissioned in the next few months.

During the bilateral meeting, the issues of Sistema and Kudankulam were discussed along with several other matters of mutual interest.

Kudankulum, Sistema figures in Medvedev-Singh talks

PM assured the Russian President that the Government is making efforts to ensure safety of foreign investments.

On Sistema, the two leaders agreed to continue with the consultations under the framework of Indian law, External Affairs Ministry spokesperson Syed Akbaruddin said.

Sistema, with investment of $3.1 billion, has 56.68 per cent stake in Shyam Sistema Teleservices (SSTL) whose 21 out of 22 licences were cancelled by the Supreme Court on February 2 as irregularities were found in their allocation.

Russian Government, which has a stake of 17.14 per cent in the company, has since been expressing concern and pressing Indian Government to ensure protection of Sistema's investment.

During the meeting, Singh told Medvedev that the Government was committed to ensuring that foreign investors feel safe in India.

India welcomes foreign investments, Akbaruddin quoted the Prime Minister as having told Medvedev.

Cooperation in hydrocarbon sector, including oil exploration and the possibility of having a Comprehensive Economic Cooperation Agreement (CECA) to enhance trade ties were also discussed at the meeting.