India Inc to launch road show on Mistry panel proposals

In order to discuss and absorb the recommendations of the Percy Mistry Committee report on making Mumbai an international financial centre...

In order to discuss and absorb the recommendations of the Percy Mistry Committee report on making Mumbai an international financial centre (IFC), industry bodies will hold a roadshow, “anytime in the last week of this month” in Mumbai. According to a finance ministry official, “We have received offers from some industry bodies wanting to conduct the roadshow, but have not yet finalised.”

According to sources, leaders from the financial sector, both from India and abroad, will participate in the road show . Members of the committee will also be present in the road show along with experts. The road show will largely discuss the Mistry report after which it will be up for comments from the finance minister P Chidambaram and chief minister of Maharashtra Vilasrao Deshmukh.

Followed by a budget announcement by Chidambaram, the high-powered committee chaired by Percy S. Mistry has offered recommendations to make Mumbai an IFC. Full capital account convertibility by 2008, abolition of securities transaction tax, removal of restriction on foreign investments in sovereign bonds, and financial sector reforms are some of the key recommendations of the report.

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Free float of the rupee takes forward the second committee report by former Reserve Bank of India (RBI) deputy governor S S Tarapore on full capital account convertibility recommending a five-year time frame. The committee has 48 recommendations with three underlying themes: macroeconomic environment, financial sector reforms and developing the physical infrastructure of the city.

Entry to the roadshow would be by invitation. And on the basis of responses received, roadshows will be held in other cities.