Most of the sectors of our economy are open for FDI: PM

The Dollar Business Bureau

Prime Minister Narendra Modi said on Monday that most of the sectors of Indian economy are now open for foreign investment and out of that over 90% are on automatic approval route.

“Most of the sectors of our economy are now open for FDI. More than 90% FDI sectors are on automatic approval route,” Modi said at the ASEAN Business & Investment Summit in Manila (Philippines).

“India has emerged as a front-runner in attracting FDI. Compared to last three years, we have received 67% more FDI in this year. Now, we are a globally integrated economy,” he added.

Prime Minister informed that India has taken several measures and reforms to improve ease of doing business such as simplified industrial licensing, introduction of online application process for environmental and forest clearances, etc.

“All these have made opening a new business very easy. The results are obvious,” he said.

India has climbed 30 places in the World Bank Ease of Doing Business Index this year. It is the biggest jump by any country this year and a recognition of India's long term reform trajectory, Modi said.

Prime Minister emphasised on improving connectivity between India and the ASEAN region for enhancing growth and trade among the member countries.

“Indeed, for the near future, South and South East Asia will be the growth engine of the world. Hence, building connectivity with ASEAN is a key objective for India. We wish to build land, sea and air connectivity to this dynamic region,” he said.

“Work is already on in the construction of the tri-lateral highway through Myanmar and Thailand to connect to other countries in South East Asia,” he added.

On improving connectivity between the India and the region, Modi said that discussions are going on for early conclusion of Agreement on Maritime Transport between India and ASEAN.

“We are working on the early conclusion of the Agreement on Maritime Transport between India and ASEAN and are exploring coastal shipping services with countries that are our immediate maritime neighbours,” he said.

In the area of air connectivity, Modi said that ASEAN countries enjoy the facility to operate a daily service to the four metro cities in India and to 18 other destinations.

Given the primacy of connectivity, India is organising an ASEAN-India Connectivity Summit in New Delhi next month with ministers, officials and business representatives from all ASEAN countries participating, he said.

“Just as India sees business opportunities in the region, I am sure that the ASEAN business community recognises the potential for business in India,” he added.