In a bid to woo more foreign investments from Germany, Prime Minister Narendra Modi on Tuesday said his government would provide favourable business conditions for industries to set shop in India.
Addressing a gathering as part of the Indo-German summit in Bengaluru organised by Nasscom, Mr. Modi also said the government would provide strong IP protection regulations, fast-track approvals and clearances for industry and infrastructure, and there would be no retrospective taxes.
“At a time of global slowdown, India represents a bright spot for investments. We are fortunate to be sailing in the right direction.
“The recent data on global economic activity reinforces this assertion. We are committed to doing everything possible to convert these analyses into reality,” said Mr. Modi.
German Chancellor Angela Merkel, who is on a three-day visit to India, also addressed the Indo-German business leaders at the summit, which was attended by almost all the industry leaders representing various sectors.
“India is a great market that offers huge potential for our companies. We want to further enhance our relationship with India. For any businesses to sustain there should be favourable conditions and we are very much interested in the reform course of the last fifteen months by the Indian government,” said Angela Merkel.
She also emphasised the need for equal treatment for Indian business and German business in the country.
Ms. Markel also welcomed the negotiations for fair trade agreement with European Union. “A comprehensive agreement is needed between India and European Union for fair trade. The talks on these lines will be resumed as quickly as possible. A free trade agreement will pave way for more trade between both Indian companies and German firms.”
GST roll out Meanwhile Mr. Modi said the government was hopeful of rolling out GST next year. “We have introduced the GST Bill in Parliament; we are hopeful to roll it out in 2016,” he said.
The government, which introduced the GST bill, is facing problems in the Upper House of Parliament as it is not having majority in Rajya Sabha.
Mr. Modi said the sentiments for private investment and inflow of foreign investments had turned positive. The GDP is above 7 per cent and FDI inflows have gone up by 40 per cent compared with the corresponding period of the previous year.
