Economy

Government seeks assistance to boost investment and economic growth

The government is seeking active participation from 25 large corporate houses to boost investment and economic activity. The consultation aims at ascertaining their investment and expansion plans and addressing the pain points of the industry. 

The details of five-year investment roadmap and short-term expansion plans both have been sought, in addition to resolving issues raised by the companies. Also, the government will try to remove other regulatory, licensing, or funding-related problems by connecting with the relevant authorities. The measures have been underway through the Project Management Cell (PMC) by the Ministry of Commerce and Industries.

The corporate houses who have raised concerns or consulted include Tata, Reliance, Birla, Mahindra, Adani, Infosys, Wipro, Maruti Suzuki and Hindustan Unilever Limited (HUL). Both HUL and Maruti raised issued around operations and financing expansions. While HUL has spoken about the misuse of intellectual property rights and varying state regulations around plastics, Maruti had flagged financing issues.

Also Read: Will Divestment in Public Sector Companies Improve Our Economy?

The next list of corporates include Sun Pharma (Dilip Sanghvi), Vedanta Group (Anil Agarwal), HDFC (Deepak Parekh), Bharti Group (Sunil Mittal), ICICI Bank (Sandeep Bakshi), JSW (Sajjan Mittal), Kotak Mahindra Bank (Uday Kotak), L&T (SN Subrahmanyan), and Bajaj Group and Shapoorji Pallonji Group.

The government is also considering to rope in prominent business houses in the retail, textiles, aviation, roads and railways sectors, other than consulting with their lawyers to understand corporate clients’ important issues.

For any clarifications/feedback on the topic, please contact the writer at sweta.dugar@cleartax.in

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