Lifting the current $ 100 million ceiling, Prime Minister Atal Behari Vajpayee today announced that Indian corporates will hence forth be allowed to make overseas investments without any restrictions, up to 100 per cent of their net, while inaugurating the second Pravasi Bhartiya Divas conference in New Delhi. The investment can be made either through a joint venture or a wholly-owned subsidiary in order to give Indian business a free hand to go global in the agricultural sector.

After welcoming the chief guest, , President of Guyana, as an outstanding example of a Bharatvanshi, the Prime Minister also announced lifting the restrictions on companies to undertake agriculture activities abroad, whether directly or through an overseas branch. "This will enable Indian companies to take advantage of global opportunities and also to acquire technological and other skills for adoption in India," Mr Vajpayee said. He said that India had emerged as a strong economy and had transformed itself from an aid-receiving country to a donor nation and was on the way to becoming an information technology super power. It has emerged as the preferred destination for IT-enabled services, he added.

The Prime Minister said, "In today's highly competitive global markets, it is natural for companies and organisations to use technology and internationally available human resources in ways that enhance their efficiency. What India's trained manpower is offering through IT-enabled services is a win-win situation for both India and the sourcing countries."

Touching upon the role of Persons of Indian Origin/NRIs and their contribution to the economies of their adopted countries, Mr Vajpayee pointed out that over Rs 55,000 crore had come from NRIs and those from Kerala accounted for nearly half of that.

He also announced setting up the Pravasi Bhartiya Kendra in the capital with a grant of Rs 25 crore from the Government. The Kendra would strive to develop closer ties between the country and the diaspora. The Prime Minister also said that NRIs in the Persian Gulf region and South-East Asia would no longer have to pay higher fee for education of their children and would be treated at par with Indian residents.

Speaking at the inauguration Minister for External Affairs Yashwant Sinha, said, "On the economic front, India has achieved a growth rate of 8.4 per cent in the second quarter of this fiscal year. Our coffers are bursting with over $100-billion foreign exchange reserves. There are abundant food stocks in our granaries. Inflation is under check. Trade is booming. Following the lead of the services sector, India's manufactured goods are penetrating the leading markets of the world."