It welcomes Investment War Room

The Federation of Indian Chambers of Commerce & Industry (FICCI) has welcomed the Commerce Ministry’s decision to set up an India-China Working Group to address the problem of the huge bilateral trade deficit.

The country’s trade deficit with China was US$51.08 billion in 2016-17, a slight improvement from US$52.69 billion in 2015-16. The bilateral trade was US$71.48 billion in 2016-17.

FICCI also welcomed the Ministry’s decision to create an Investment War Room to monitor investment in the country.

It has also welcomed the Industry Minister’s announcement that a Regulatory Review Committee will be set up to examine how regulatory institutions may be coming in the

Meanwhile, it has urge the Government to build a stronger partnership with the private sector so that the private sector once again becomes a driver of growth and a generator of employment in the country.

FICCI has also called on Commerce & Industry Minister, Suresh Prabhu, to convene a meeting with Industry Associations to discuss issues effecting industrial growth.

FICCI had submitted to the Minister that the key to arresting the long-term decline in the rate of investment, from over 35% to below 30%, lies in boosting investors’ confidence in the country’s medium-term growth prospects and overall environment for doing business.

The immediate solutions include a reduction in the interest rate, pass through of this reduction to consumers and investors, and a sharp depreciation of the Rupee.

FICCI has expressed concern that the recent increase in consumption demand is being increasingly met through imports rather than higher capacity utilisation. fii-news.com