NITI Aayog CEO Amitabh Kant on Friday said that the Centre and state governments should work together to make India one of the easiest places to do business. He was addressing a virtual event organised by the industry body PHD Chamber of Commerce and Industry.
Kant added that improvements in areas like single-window clearances and quicker land acquisition are needed to enhance the ease of doing business in the country. He also expressed concern over high food inflation due to higher prices of oilseeds and edible oils.
Kant said, "Action is now needed at all levels of government to rationalise and streamline forms and clearances. Single window clearances and land acquisition are areas for state governments to focus on."
"State governments must also take the lead in instituting labour reforms and rationalising the costs of power to industry," he said, adding that we must strive together to make India one of the easiest places to do business in.
Kant, while talking about the opportunities for businesses in India, said that India should focus on sunrise areas for growth, such as electric vehicles and battery storage manufacturing, green hydrogen, artificial intelligence (AI), data analytics, blockchain, cloud computing and genomics.
He also emphasised that public-private partnership (PPP) in social infrastructure is another avenue of investment in India.
"Now more than ever, the importance of social infrastructure such as healthcare facilities has come to the fore. Unlocking investments in this sector will be crucial to India's resilience and adaptability," said NITI Aayog CEO.
Kant, commenting on the private sector's involvement, said partnerships with the private sector in unlocking the potential of innovative financing mechanisms such as asset monetisation, providing an impetus to green finance are other potential areas.
However, the industry chamber said that the government should take a lead and allocate the National Infra Pipeline expenditure to attract private investments.
The industry also said the government should focus on further reducing the cost of doing business including the costs of power, capital, compliances, logistics, land and labour.
"The increased spending on infrastructure will give a multiplier effect to rejuvenate the aggregate demand in the economy," said Sanjay Aggarwal, president, PHDCCI.
"Strengthening the MSMEs sector must also be on priority. The focus should be on ensuring provision of hassle-free disbursements of loans vis-a-vis enhanced liquidity for MSMEs," he added.
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