India Remains Challenging Place To Do Business: US Report
The report referred to the removal of the special constitutional status from Jammu and Kashmir and the passage of the Citizenship Amendment Act (CAA).
New Delhi. According to the US report, India still remains a challenging place to do business. Bureaucratic barriers to investment are becoming a hindrance. Therefore, there is a need to create a reliable investment climate.
The report ‘2021 Investment Climate Statements India’ (2021 Investment Climate Statements: India) states that India has become a challenging place to do business. The report mentions the removal of the special constitutional status from Jammu and Kashmir and the passage of the Citizenship Amendment Act (CAA).
read this also: BPCL gave special facility, instead of going to the petrol pump, now fill diesel in the tank sitting at home
New protectionist measures, including procurement rules limiting competitive options, increased fees, according to the report. This has affected the supply chain. Along with this the Specific Indian Standard which does not match with the International Standard. This has hindered growth in bilateral trade.
Two controversial decisions taken in 100 days
The US State Department said in its report that two controversial decisions were taken in the first 100 days of the second term of the National Democratic Alliance (NDA) government. First the removal of special constitutional status from Jammu and Kashmir and second the passing of CAA. On this, India says that CAA has been its internal matter. No foreign party has the right to comment on issues related to the sovereignty of India.
The State Department report said the protests took place after the enactment of the CAA, but ended in March 2020 with the onset of COVID-19 and a strict national lockdown. Management of COVID-19 became the key issue in 2020, including the decline in economic activity and by December 2020, economic activity started showing signs of positive growth.
read this also: 5G Network: Airtel introduced its 5G plan
economic challenges emerged
But due to the second wave of Corona, the BJP-led government had to face criticism. According to the State Department, economic challenges have arisen due to the Corona epidemic and the resulting national lockdown. India implemented comprehensive social welfare and economic stimulus programs and increased spending on infrastructure and public health.
The government also adopted production-linked incentives to boost manufacturing in pharmaceuticals, automobiles, textiles, electronics and other sectors. These measures helped India recover from a nearly eight per cent decline in GDP between April 2020 and March 2021.
#India #Remains #Challenging #Place #Business #Report