India: New Visa Proposed to Remedy Infrastructure Project Delays

The Times of India reports that India’s tightening of restrictions for Business Visas (BV) and Employment Visas (EV) for foreign workers has delayed completion of numerous infrastructure projects. To remedy the situation, the home ministry has proposed a Project Visa (PV) that will allow foreign nationals to work on specific projects, mainly infrastructure and those of strategic importance. Currently the proposal is being examined by a government committee.

Previously, unskilled and semi-skilled foreign workers primarily from China had entered India on BVs, which are intended for white-collar employees. After a clampdown on visa abuses, India instructed said BV holders to leave India, but stated that they could return if they converted their BVs to EVs by November 30, 2009. Although most of the affected workers have applied for the EV, approval and issuance will take time, thereby delaying projects further.

Information contained in this publication is intended for informational purposes only and does not constitute legal advice or opinion, nor is it a substitute for the professional judgment of an attorney.