With the government taking steps to improve business climate, total FDI inflows in the last two-and-a-half years have touched $130 billion, Prime Minister Narendra Modi said on Tuesday.
Modi, while addressing investors at the Vibrant Gujarat summit here, also said that ‘Make in India’ initiative has become the “biggest brand” that the country has ever had.
“The total FDI in the last two-and-a-half years have touched $130 billion. The FDI equity inflow in the last two financial years was 66 per cent higher as compared to previous two financial years. In fact, the total FDI inflows received during the last year have been the highest ever,” he said.
He said the number of countries from where FDI is coming in, and the sectors in which they are being routed have also diversified in the last two years. “India is now the leading recipient of capital investment in the Asia-Pacific. It also continues to be among the top ten countries globally in terms of FDI inflows,” he added. He also said that “the story does not end here as India has left every other country behind in terms of providing return on investment”.
The government has liberalised FDI regime in many sectors and in various ways and India is today among the most open economies, Modi said.
“Creating an enabling environment for business, and attracting investments, is my top priority. We have to do this in order to create opportunities for our youth,” he said.
Further the Prime Minister said India has placed the highest emphasis on ease of doing business. “We have taken decisive steps to ease licensing processes, and rationalise provisions and procedures relating to clearances, returns, and inspections. We are monitoring implementation of hundreds of action points across various sectors, aimed at improving the regulatory framework. This is part of our promise of Good Governance,” he added.
He said that India is moving closer to global best practices and day by day it is getting more and more integrated with the world.
“Our confidence has been boosted by the positive impact of our policies and practices. This also gives us the motivation to further simplify our processes to become the easiest place to do business,” he said adding “every day, we are further rationalising our policies and procedures, to make it simple for businesses to establish and grow”.
Listing out initiatives taken by his government in last two-and-a-half years to improve business climate in the country, he said Goods and Services Tax (GST) is in offing while Insolvency and Bankruptcy Code, a National Company Law Tribunal, a new arbitration centre for dispute resolution and a new IPR regime are all in place.
New commercial courts have also been set up.
Stating that these are just a few examples of the direction of his government, he said, “My government is strongly committed to continue the reform of the Indian economy.”
“Our Government was elected first and foremost on the promise to provide clean governance and end the prevailing regime of corruption and nepotism.
“It is our vision and mission to bring a paradigm shift in the ways of our polity and economy,” he said.
Stating that his government has taken a series of decisions and steps to provide clean governance, he said the focus is to shift from “relation based Governance to system based Governance”, from “discretionary administration to policy based administration”, from “random interference to technological intervention”, from “favouritism to level playing field” and from “informal economy to formal economy.”
Prime Minister said he has emphasised the need for policy driven Governance and use of technology to bring speed and openness in decision making. “Towards this end, we are working to adopt and absorb newer technologies, to bring about transparency, and to end discretion. Believe me, we are on the threshold of becoming the world’s most digitised economy. Most of you wanted this change in India. I am proud to say that it is happening before you,” he said.