Despite a section of government raising concerns over Walmart taking control over homegrown ecommerce player Flipkart, the deal between the two companies is likely go through within a few days.
A section of high profile government officials have shared their worries over the deal, arguing that Walmart is exploiting a policy loophole.
“The operation of the marketplace model is a grey area and, by allowing Walmart, the government may give the global giant a stronger toehold in the country, where it has been trying to find its feet for several years,” said some high profile officials of the government.
Presently, there are no governmental hurdles for Walmart’s major stake acquisition in Flipkart. However, the government is in doubt whether to support the move publicly. There have been vivid opinions about the whopping deal.
“It is a commercial decision. Why should the government be seen to be involved with this?” said a senior officer, who also brushed aside concerns that some of his colleagues have expressed in private.
Walmart CEO Doug McMillon will visit India next week to close the deal. However, he would not meet with any government bodies.