New Delhi: Terming the one-year performance of Narendra Modi government as more than satisfactory, PHD Chamber today said it will give “7.4 marks out of 10” as the macro economic outlook has improved. However, the chamber said that reforms must be implemented on the ground.
“Reforms so far announced should see their implementation on ground level so that ease of doing business at grassroots is further facilitated. The coordination of the Centre with states needs to be cemented for which the central government alone has to take a call,” the industry body said.
PHD Chamber President Alok B Shriram further pointed out that agriculture, industry and core infrastructure have continued to witness deceleration as growth rate in agriculture fell to 1.1 per cent in 2014-15 against 3.7 per cent in 2013-14.
Growth of core infrastructure declined from 4.2 per cent in 2013-14 to 3.5 per cent in 2014-15. However, the industry body said the country must have patience to allow the government to pursue and fulfil its economic agenda for at least 1-2 more years.
The investment scenario inched up with FDI equity inflows increasing by about 19 per cent in the last one year while FII inflows registered a remarkable increase of 434 per cent and inflation improved since formation of the Modi-led government.
FII inflows which stood at USD 8.5 billion in 2013-14 accelerated substantially to USD 45.4 billion in 2014-15, the chamber said. “Implementation of Goods and Services Tax (GST) is of utmost importance for creation of single unified market and Land Acquisition Bill should be passed to enable Prime Minister Modi to fulfil his dream of accomplishing extension of reforms for factor markets since so far reforms have addressed the issue of product markets,” it said.