Govt taps inputs from public sector banks to lure foreign capital

Synopsis Government will meet state-owned lenders to attract foreign investment. This aims to stabilize the rupee and bridge the current-account gap. The meeting will also focus on deposit mobilization and supporting small businesses. Fresh foreign capital inflows will boost reserves and domestic manufacturing. Durable foreign direct investment is preferred over short-term deposits. Mumbai: The government has called a two-day meeting with state-owned lenders to brainstorm measures to attract foreign investments, a move aimed at stabilising the rupee and bridging the current-account gap that has widened largely because of the high energy import bill. The finance ministry has scheduled the annual…