… While Chambers Welcome

Industry chambers CII and FICCI welcomed the Common Minimum Programme, saying it would ensure both economic growth and social equity. Flexib...

Industry chambers CII and FICCI welcomed the Common Minimum Programme, saying it would ensure both economic growth and social equity. Flexible labour laws, stepped-up public investment in rural infrastructure and assurance of early implementation of VAT will specially benefit the rural economy and create employment opportunities they said.

CII president Anand Mahindra congratulated the government for steps to install fiscal discipline. “Commitment to eliminate revenue deficit by 2009 and pledge to protect the legitimate interests of industry and agriculture and the WTO forum are heartening,’’ he said. The CMP’s emphasis on promoting FDI, particularly in high-tech, infrastructure and

exports and continued commitment towards encouraging FII inflows were also welcomed by the industry chambers. CII said raising public expenditure on health and education to two and six per cent respectively was a positive step, in line with their need for investment.

FICCI president Y.K. Modi also applauded the government’s economic roadmap, saying it would help generate employment and growth over the next five years. “The final CMP provides a clear roadmap for action for the new government,’’ he said, urging the government to implement the individual elements of the CMP in a time-bound manner. “Now that we have got a clear direction it is time to concentrate on effective implementation of the blueprint provided by the CMP. Proper implementation could catapult India into becoming an economic powerhouse in the coming five years,’’ Modi said. FICCI was particularly elated with proposed changes to the Electricity Act, continuing attention promised for labour law reforms, promised speedy implementation of VAT and the central cess on education which, it said, would speed up all-round growth and progress.