“The scale and content of economic
reforms from the Government in the past two years has been very healthy.
Industry believes that the range of policy actions across various economic
dimensions sets a very strong foundation for future growth,” said Dr Naushad
Forbes, President, Confederation of Indian Industry (CII), commenting on
completion of two years of the National Democratic Alliance (NDA) Government at
Identifying major policy measures in the
areas of taxation, ease of doing business, public-private partnerships, and
financial sector, among others, Dr Forbes emphasized that the Government has
taken a series of steps that together add up to a renewed business environment.
“With demand conditions picking up on a normal monsoon, investment will turn up
in the coming 6-9 months, kickstarting a new growth cycle,” he added.
“Targeted and comprehensive
interventions in infrastructure with faster clearances have got delayed
projects moving, particularly in the road sector,” said Dr Forbes. He commented
that lead sectors such as cement, steel and power are firming up, indicating
pick-up in construction activity. Besides, campaigns such as Make in India,
Smart Cities, Clean Energy, Namami Gange and others add to infrastructure
The CII President highlighted the
Government’s initiatives in social security through empowerment and new
opportunities. “We commend the Government for rolling out direct benefits
transfer which reaches subsidies to the needy sections of society, prevents
leakages and provides for substantial savings in spending,” he stated. The
success of large-scale social sector schemes such as Jan Dhan Yojana, Skill
India, Pradhan Mantri Suraksha Bima Yojana, Pradhan Mantri Jeevan Jyoti Yojana,
Atal Pension Yojana, and Ujjwala Yojana will promote inclusive growth, he felt.
Rural India will benefit from emphasis
on irrigation and infrastructure connectivity, added Dr Forbes. Besides,
integration of agricultural markets, soil health cards and rural housing
program will add to rural prosperity and demand.
Simplification and predictability in tax
administration and reforms in the financial sector are comprehensive and
well-directed, said CII. The introduction of the Insolvency and Bankruptcy
Code, Real Estate and Infrastructure Investment Trusts, and measures to curb
NPAs and strengthen banks has added to investor comfort, pointed out President,
CII. The Government has also taken commendable action for tax dispute
CII called on the Government to continue
on the path of quick and forceful reforms. “We are optimistic that Government
would be able to get the GST Bill passed in the coming monsoon session, paving
the way for its introduction in April 2017,” said Dr Forbes, referring to the
Goods and Services Tax. “Rapid implementation of various key measures announced
already and spread of reforms to the state level are key to economic success
going forward,” he concluded.
27 May 2016