05 AUG,2019 | MEDC
Enhancing India’s attractiveness as an FDI destination is all about focusing on the age-old issues – simplification of labour laws, infrastructure development, and the creation of an effective regulatory environment. Fiscal policy has a key role to play. Tax policy and tax administration needs to be streamlined for global operations. Unless goods can move in and out of India seamlessly, it will be hard to integrate into global supply chains. Not only will this require well-structured operational procedures, but it will also necessitate a proactive tax administration. India is perceived globally to be a difficult place to do business in, primarily due to policy inconsistency. This image of India has to change. An investment-led strategy is necessarily an export-led strategy, and it will require focusing on the sustained development of infrastructure and transportation logistics to raise external economic competitiveness. We have a large stake in a globalized world, and China’s loss won’t be India’s gain unless we first put our own house in order.
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