On 21st Nov. 2015, PM Narendra Modi addressed at ASEAN Business and Investment Summit, where the Chairman of ASEAN Business Advisory Council Tan Sri Dato Dr Mohd Munir Abdul Majid, Co-Chair of the ASEAN-India Business Council Dato Ramesh Koddamal, Business Leaders of ASEAN and other members of the ASEAN Business Community were also present.

PM Modi said that he felt honored to address such privileged gathering of community members who have played major role in transforming South East Asia into one of the major dynamic regions of the world. Along with this, he congratulated all the members for this great achievement.  He stated that the government actions in the past one and half years have led to bring out the sustained increase in the general price of goods which at the same time have increased the GDP and foreign investment.

We have achieved a great success at various stages such as:
• Foreign investment is up and the Current Account Deficit is down.
• GDP growth is up and inflation is down
• The fiscal deficit is down and the rupee is stable.
• Tax revenues are up and interest rates are down.

HE said, “We asked ourselves the question – Reforms for what? What is the aim of reform? Is it just to increase the measured rate of GDP growth? Or is it to bring about a transformation in society? My answer is clear: we must REFORM TO TRANSFORM.”

In the words of PM Modi, “Reform for me is just a way station on the long journey to the destination. The destination is the transformation of India.” We have to think about advantages of development to the margins of our geography and to the bottom of our demography. For that, we have to come across lives to reach at the top level. According to his words, “By almost every major economic indicator, India is doing better than when we took office 18 months ago.”  

Key Highlights of PM Modi’s address at ASEAN Summit:

  • PM Modi has assured that our nation is committed to protect the innovator’s IP rights and for that national IPR policy is expected by the end of the year.
  • We have launched a second wave of reforms to revitalize the flow of investments and also we are trying to open the economy ways for this mission.
  • The new highway work is one its way and it has been markedly increased from 9 kilometers per day to 13-23 kilometers per day.
  • Many economic communities have done their job for the resurgence of Asia and it is our turn to bring out changes.
  • In order to make our nation as one of the top manufacturing hubs all over the world, we have focused on improving work strategies, for example IIP in this year has shown significant improvement in the work criteria. Our nation has launched “Housing for All” program that includes 29.5 million rural homes and 20 million urban houses.
  •  In order to make our nation stable in economic ways, we have started a series of concerted steps that will bring out tremendous change in the production and development.
  •  The major ports has observed 4.65% growth in traffic and 11.2% increase in operating income in 14-15 despite a global contraction in trade.
  • Our nation is doing better to transform the production and development ways so that we can bring out more opportunities for the people in their own country.

 

 PM Modi focused on reformation and transformation of the nation and said that both nations are natural partners from the ancient times and will continue to devote their efforts for each other. He also mentioned the great achievement of ASEAN as one of the largest economic zones in the world like the efforts of the communities has led to rapid and stable growth considering all important facts like good governance, advanced technologies and futuristic infrastructure. Not only in the field of development, but also the countries have gained maximum tourist attraction in the world which he has observed when he visited many foreign states. He said, “Most ASEAN economies have done their bit for Asia’s resurgence. Now, it is India’s turn. We know that our time has come.”

He also considered the macroeconomic stability as the main reason of growth and stability in the South East Asia.

He highlighted the initiatives taken for our nation like:

• India has markedly improved UNCTAD ranking of investment and now we are at the 9th place. We have also jumped 16 places on the World Economic Forum’s global competitive index after years and ranked as one of the most attractive investment destinations by global agencies and institutes. The sentiments for private investment and the inflow of foreign investment have turned positive for our nation and now the foreign investment is up 40%.
• MOODY’s have upgraded the outlook for India. Nation programs like Skill India, Startup India Campaign and Digital India are specifically designed for the young generation of the India so that maximum individuals can bring their talent and achievement for the development of the nation.

• We have allowed and enhanced FDI levels in key sectors including Railways, Defense and Insurance and most of the sectors have been put on the automatic approval route. We have also rationalized FDI policies in sectors like construction, medical devices and plantation and allowed the composite caps for foreign portfolio investors in all FDI allowed sectors.
• We have ended retrospective taxation, notified the regulations for the Alternative Investment Funds and rationalized capital gains tax for Real Estate Investment Trusts. Also, we have decided to defer the implementation of General Anti Avoidance Rules.

• We have introduced the Goods & Services Tax Bill in Parliament and hoping for rolling it out in 2016, which will create a unified system of taxation across the country. Along with this, our nation has also drafted a new bankruptcy code.

PM’s Vision:
PM Narendra Modi has focused on reformation and transformation mission and for that he has described the dynamic steps taken to open up the economy for FDI. He wants India to grow in every aspect like production and development. He has a broad vision to bring transparency in our tax regimes.  He wants his nation to play a major role in Asia’s resurgence. For that, initiatives have already been taken in every field.

Contributor: Sunpreet Kaur

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