JOIN USIndia Inc expects more reforms in major areas from Modi government
Industry expects some major initiatives and forward movement in key sectors of road, power, coal, non-renewable energy to be essentially led by the public sector investment in the next two quarters by the NDA government which is completing an eventful one year in office, a survey has indicated.
“The rural economy needs immediate support in the absence of market risks and unfavourable weather conditions with attendant issues for a host of industrial sectors like farm equipment, motorcycles, sugar mills, food processing and fertilisers,” the industry feedback carried out by Assocham said.
“Having taken several initiatives to unclog infrastructure projects and improve the ease of doing business, Prime Minister Narendra Modi-led government is expected to give increased attention to the rural economy, although several of the financial inclusion programmes like the Jan Dhan Yojna would help the countryside,” it said.
It said that some of the initiatives like monetisation of gold would bring in much-needed stability in the country's balance of payment by way of reduction in gold imports.
According to the industry assessment, for kick starting the economic growth, domestic consumer demand has to be revived with improving the sentiment on employment opportunities. Sectors like tourism, aviation are some of the low hanging fruits on which the government has moved ahead as they have huge employment opportunities.
Industry, however, is of the view that a holistic view must be taken about the stressed assets in banks to check non-performing assets.
“But some of the innovative initiatives like monetisation of gold would bring in much-needed stability in the country's balance of payment by way of reduction in gold imports,” said Assocham President Rana Kapoor said. “Besides, there are hopes that the GST Bill would finally move towards a law,” Kapoor said.