The ethics framework, regulatory environment and self-governance initiatives by corporates are primary to the ease of doing business in any country and being successful globally. The Government is making persistent efforts towards simplification and rationalization of laws so as to make governance more efficient and effective. CII has been an active partner to the Government in this endeavour. CII has been advocating the need to create a facilitative, streamlined and harmonized regulatory environment that promotes voluntary adoption of best practices by corporates without additional regulations.
In the regulatory space, some changes have been made to the Companies Act, 2013 in the last couple of months. The Companies (Amendment) Bill, 2018 was passed by Lok Sabha on 4 January 2019 for provisions introduced by Companies (Amendment) Ordinance, 2018. MCA has also floated few additional changes to the Act dealing with provisions of Significant Beneficial Ownership, CSR and Remuneration of Independent Directors. CII has submitted detailed representations to MCA on the proposed amendments.
This edition of the Policy Watch highlights important issues that need Government focus to make regulations facilitative to business, rather than an impediment to growth. The issue also covers the importance of ethical conduct, transparency and integrity in business. CII considers ethical practices in business dealings to be critical for the development and growth of the Industry.