PPP Mode best way to leverage North’s full potential – Montek S Ahluwalia
Investments, Infrastructure, PPP key to North’s growth – Montek S Ahluwalia
Quick decision making and administrative reforms must to attract investments - Sukhbir Badal
“Northern states have very much participated in India’s growth over the last 5 years. And most of the Northern states have even grown at higher rate than the national average of around 8 % in the last 5 years. This testifies the fact that north has the potential to give good returns and further attract investments. The Delhi Mumbai Industrial Corridor (DMIC) which would be ready by 2017 would further bolster the North’s attractiveness as a favorable investment destination”, emphasised Mr Montek Singh Ahluwalia, Deputy Chairman, Planning Commission, GoI, while addressing the Invest North 2012 Conclave, organized by Confederation of Indian Industry (CII), Northern Region at Gurgaon today to showcase and promote investment opportunities in the Northern states of India.
“There is a need to put in place, sound and attractive business models under Public Private Partnership (PPP) mode to leverage the true potential of north. Historically, for example, infrastructure has been developed through public investments, but now our strategy should be to explore PPPs wherever possible”, he added.
He further pointed out that “India is looking at a pro FDI policy with level playing field for both domestic and international investors. States that attract more investments from other states and from abroad send very positive signals to the domestic investors and enhances the states’ image as an attractive investment destination”.
Mr Sukhbir Singh Badal, Deputy Chief Minister, Government of Punjab expressed that “Quick decision making and reworking on outdated rules and regulations to remove the system bottlenecks is crucial to create a viable investment climate and promote investments and in the region. And we in Punjab are focusing strongly on administrative reforms to simplify procedures”.
“Punjab is the only State in the country today where all mega power projects are well on track of commission by the end of 2013 making Punjab a power surplus state. We might even consider exporting power to Pakistan and earn money”, he shared.
“Within the next 3 – 4 years, all major cities and towns of Punjab will be connected with four and six lane roads. We are also working towards developing infrastructure in 142 big and small towns under PPP mode with nil Government spending. In addition, these projects would offer tremendous investment opportunities for both domestic and international investors” he further apprised the industry.
A CII KPMG Report titled “Scaling Northern Heights” was also released by Mr Ahluwalia and Mr Badal.
Earlier, Mr Ajay S Shriram, Chairman, Invest North 2012 and Vice President, CII stated that “Northern Region’s diversity in terms of topography, culture, heritage and economy with certain key characteristics like abundance of raw materials, vast agricultural set up, skilled manpower, fast growing communication sector, huge consumer market base and world class manufacturing facilities makes it a preferred investment destination”.
“New mega infrastructure projects like dedicated freight corridors and formulation of new National Manufacturing Policy have opened up new vistas for fresh investments in the region. CII’s Invest North 2012 will act as a catalyst in this direction by bringing together all stakeholders like the government, industry, domestic and foreign investors etc at a common platform”, he further iterated.
“The capability and opportunity for the Northern Region States to attract investments has grown substantially over the years and to showcase this transformation, CII in association with northern State Governments has organized this 1st ever mega event, shared Mr Malvinder Mohan Singh, Co-Chairman, Invest North 2012 and Chairman, CII Northern Region. He further emphasized on the need for strong and transparent governance for robust growth.
“It has been a constant endeavor of CII to partner with the Government both at the Central and State levels for enabling reforms and facilitating Investments for sustainable growth. Invest North 2012 is also one such platform where the northern state governments have come together to showcase the investment potential;l of the regionas a whole and hence propel investments”, shared Mr Chandrajit Banerjee, Director General, CII.
The Inaugural session was followed by the Panel Discussion on Investment Opportunities in North India. Mr Sunil Kant Munjal, Chairman, Hero Corporate Service Limited shared that “The states need to build on their natural & existing capabilities. Elaborating the advantages in the Northern states, he added that the states need to explore the opportunities in tourism sector, a sector often overlooked, particularly by creating adventure, religious and heritage circuits”.
Mr Naoyoshi Noguchi, Chief Director General,Japan External Trade Organisation (JETRO) India extolled the partnership of JETRO and India particularly of the northern region and pointed out that the northern states received a substantial share of 20 % out of the total japanese investments in India which accounts for US $ 3 Billion last year. The focus of JETRO has been skewed towards manufacturing sector particularly the export oriented industries in the north.
Mr Richard Rekhy, Chief Executive Officer, KPMG India emphasized the huge agro resource endowment in north and the need to leverage this potential through value addition in this sector. Adding further, he pointed out that “the proposed GST regime will play a huge role in the consumption-oriented economy of the region. The demographic dividend advantage of the region will create immense opportunities in the education, skilling and healthcare sectors”, he added.
During the day long Invest North 2012 conclave, focused state sessions on Haryana, Jammu & Kashmir and Punjab were also organized. The day concluded with a special session with young Members of Parliament with focus on the changing perception of India, engaging with the youth for the development of the nation and sharing their vision of the nation.