'It's Saying The Right Thing'

Chairman/Mahindra & Mahindra

I do not quite understand what the BJP means when it says it discourages foreign investment in "non-priority areas". The need for technology and funds should determine the definition of "priority areas" and not populism. Then again, normally technology is associated with either a product or a process. Yet in today's world, there is definitely a technology in marketing and distribution. As far as I am concerned, investments must be encouraged, whether domestic or foreign, as long as they serve a clearly defined national interest. What I welcome most is the priority given to agriculture and agro-based industries in the national agenda as well as the commitment to promote massive housing. These are avenues of creating employment which are most welcome. I also laud the emphasis placed on education—particularly on female literacy.

But I am totally against the reservation of 33 per cent of seats for women in Parliament. We've seen what Mandal has done to destroy the sensitive fabric of our society—and now we will have women against men. There are other ways to handle this. If a political party accepts this in principle, then one-third of candidates all political parties put up ought to be women.

ADI GODREJ

Managing Director/Godrej Soaps

I do not see anything in the new government’s national agenda thatsays the government will discourage foreign investment in non-priority areas.

 The national agenda only says that it will give the economy a strongswadeshi thrust to ensure that the national economy grows on the principle that"India shall be built by Indians." I feel that this policy is very good and willhelp improve the confidence of domestic investors and thus accelerate growth. The effectof the BJP’s pro-grammes on actual foreign direct investment in the consumer productssector can only be judged after observing how the new government handles the differentcases that come up before it.

I feel that the national agenda, generally speaking, is extremely welldrafted. It has superbly addressed the economic, social, developmental and educationalneeds of the country. If this national agenda is translated into action, coalition pullsnotwithstanding, the future of the country is extremely bright.

TARUN DAS

Director General/CII

In England, they say, "Be British, buy British,"; in the USof A they say, "Be American, buy American," so what is wrong in proposing"Be Indian, buy Indian"?

We expect a lot of continuity and a lot of change from the newgovernment—continuity in terms of the policies and the general direction of reforms.There will not, and cannot, be any reversal of the economic policies now and we can onlygo forward from here.

For instance, we expect a lot of change in infrastructure and foreign investmentsectors, where we seek more transparency, clearer sectoral policies and corporate laws. Weexpect the Foreign Investment Promotion Board to be abolished. We do not want any morecase-to-case treatment in foreign investment.

The economy is in the doldrums. The new government has to take bold policies to effecta turnaround. The government has to become a more active player in infrastructure andpublic works. This will have a cascading effect on other industries. One of the mainreasons of industry not doing well over the last few years is the lack of governmentactivity in these areas. The government has to re-emphasise its role in the economy onceagain.

M.G. DAMANI

President/Bombay Stock Exchange

I totally subscribe to the view expressed in the new government’snational agenda that foreign investment should be allowed guardedly. Every country in theworld has sanctions against foreign investment. I see no reason why we need foreigncapital to make potato chips and see no money coming in for microchips.

I fully endorse this strong swadeshi approach to reforms. Allow foreign investment inhigh technology, not for something which can be made as well by Indian entrepreneurs. Thepolicies mentioned in the BJP’s agenda are most desirable for the domestic industry.

If foreign insurance companies have to come, let them assure crop insurance as well.Let the multinational corporations invest in the infrastructure of the country. Betweenthe demands of the foreign institutional investors and the interest of the nation, thelatter is more important. And what’s a blessing is that I think the BJP understandsit. I am positive that the Indian capital markets will receive a boost in terms ofinvestors’ confidence.