Congratulating Narendra Modi for leading the NDA to a convincing victory in the Lok Sabha elections, ASSOCHAM President B K Goenka said the second term of the government would be highly beneficial for the economy.
"An aspirational India has reposed great faith in Modi's leadership. The ASSOCHAM will extend full support to his government to meet these aspirations by achieving higher economic growth through enhanced investment in manufacturing, rural and urban infrastructure, agriculture and social sectors, including health and education," he said.
Goenka expressed confidence that having laid the building blocks of several flagship programmes like Start-Up India, Smart Cities and Make in India, we are assured of Government’s decisive traction to these schemes.
"A strong and stable government would bring in more foreign investment even as the domestic firms are witnessing renewed confidence. We are in for a virtuous cycle where consumption and investment drive each other. With inflation expected to stay benign, and growth set to move higher with the help of lower interest rates, we would soon be in a sweet spot, thanks to a decisive leadership".
Goenka said the ASSOCHAM has already prepared a 100-day agenda, in the form of constructive recommendations for the new government. "Our agenda is to pluck the low hanging fruits while sowing the seeds for richer harvest".
ASSOCHAM Senior Vice President Niranjan Hiranandani while welcoming the remarkable victory of the Narendra Modi stated that the central government in the last five years has done a remarkable job in areas such as skill development, women empowerment and infrastructure development.
"The country under his decisive leadership will be able to unleash opportunities in the growth potential areas to keep the tag of world's fastest growing economy in tandem with higher employment generation. Some of his initiatives like focus on affordable housing and health, sanitation, financial inclusion; rural and urban areas made a difference to masses," He said.
Hiranandani explained that under the leadership of Modi, the central government has taken several steps to solve the issues plaguing the industry by introducing several pro-active schemes.
"Introduction of the Insolvency and the Bankruptcy Code, rationalization of taxes by introducing GST, incentivizing industrial production, execution of slew of mega infrastructure to build last mile connectivity and achieve the target of housing for all by creating surpluses were some of the initiatives that enhance the confidence index not only at national but also at the global level," Hirandani added.
Hiranandani stated that the stage is set for accelerating the growth to higher level by tackling certain challenges like labour reforms, revival of investment and support consumption growth. The changing dynamics are expected to push the Indian GDP growth from current 7% level to higher levels, he added.
According to Hiranandani, India currently has good macros in form of low inflation, better tax compliance, fiscal prudence, high FDI and manageable current account deficit.
The government can give a big push to deregulate the economy, encourage foreign investment, reduce the role of government enterprises, and further strengthen India’s trade ties with the world, he said.
Published On : 29-05-2019
Source : Sme Times
