WASHINGTON: India today assured US Inc. That its concerns on infrastructure, investment restrictions and other impediments would be addressed expeditiously, and a roadmap would be prepared for discussions ahead of American President Barack Obama’s visit in November.
The US corporate world wanted India to address issues relating to foreign investment in infrastructure and insurance sectors, hoping that necessary legislative actions would be expedited, Indian Finance Minister Pranab Mukherjee told PTI in an interview here.
Meanwhile, Indian Commerce and Industry Minister Anand Sharma, who also participated in the Indo-US CEOs summit, promised calibrated FDI liberalisation in sectors like defence and retail in the face of the US demand for opening up of different segments for foreign investors.
Seeking support of US investors for bridging an estimated USD 250-300 billion gap in the infrastructure investment needs of India in the next five years, Mukherjee assured American CEOs that a high-level panel would identify areas of concerns and prepare a roadmap for discussions before Obama’s visit.
India’s efforts to attract investments from the US is aimed at realising, as Mukherjee said, India’s hope for double-digit economic growth by 2012, up from an estimated over 8.5 per cent in current fiscal.
Mukherjee also said that China allowing its currency yuan to appreciate against the US dollar would not have much impact on India and was a welcome step in the long run. On the issues raised by American CEOs regarding creating a favourable investment scenario in India, Mukherjee said: "Certain issues that are pending, naturally they emphasised on it. For instance, the opening up of the insurance sector, where 26 per cent to 49 per cent legislation is pending." He was asked whether the US CEOs sought more opening up on issues like taxation and liberalisation.
"Similarly to have the replicable model in respect of what we have done in the mega power project to replicate it in the sectors of road and others.
"There is also the land acquisition act, which is pending and rehabilitation of the displaced persons, these legislations are pending. So they expect that we shall have to expedite these legislative actions," Mukherjee said.
