Inviting British industry to invest in “happening” India, Commerce and Industry Minister Nirmala Sitharaman on Tuesday pledged her government’s commitment towards continued easing of conditions for foreign companies in India. Speaking to U.K. and Indian businesspeople gathered at the 10th Joint Economic and Trade Committee meeting on Monday, Ms. Sitharaman said that India, with its 5-percent growth rate, remained a far more attractive investment destination than parts of Europe — including Germany — or British businesses, particularly given the Indian government’s recent drive to reform business rules.
She pointed to the over 40 changes to the rules of the Companies Act 2013 (effective since April 2014) that her ministry had brought in. To ensure measures were speedily implemented and not held up by parliamentary procedure she said the government had used — and would continue to use — the Ordinance route. The government was committed to ensuring India’s swift rise in the World Bank’s ease-of-doing-business index. India ranked 142nd in the last index published last October.
She also reiterated the government’s commitment to simplify the tax framework in the forthcoming budget and avoid the use of any retrospective taxation rules to boost government revenues.
Later, addressing a press conference, Ms. Sitharaman underscored her interest and commitment towards furthering negotiations on the EU-India Free Trade Agreement — one of the topics discussed, on several occasions, with U.K. ministers and the EU ambassador to India. While aware of the priority the EU had accorded the Transatlantic Trade and Investment Partnership, she hoped that talks could move forward with a clear time frame and agenda.
