Abolition of retro tax to strengthen investors' confidence: PM at CII event

India now has 60 unicorns, 21 of them reaching that status in last few months, says PM

At the special plenary session of Confederation of Indian Industry (CII) Annual Meeting 2021, Prime Minister Narendra Modi on Wednesday said that the country is witnessing strengthening of cooperation between government and industry.

During the pandemic industry has stepped forward to help in every way, from masks to oxygen, he said. Industry has played an important role in India's growth, Modi added.

"All friends and organisations in industry are a major part of India's growth story. With efforts of all of you, India's economy is picking up pace once again. There is rarely a day when a CEO doesn't issue a statement or there's not a report on new opportunities in India," said PM.

Indians want products made in India, not necessary that a company has to be Indian but products should be made in India, said Modi.

"The New India is ready and committed to growing with the new world. India, which was once apprehensive of foreign investment, is today welcoming all types of investments. India is taking major leaps in ease of doing business ranking today. The situation is changing rapidly. Today, the sentiments of citizens lie with products that are made in India. It is not necessary for it to be an Indian company, but every Indian now wants to use products that are made in India. The nation has made up its mind," said Modi.

"Today, India is receiving record FDIs. FPI investment is also making new records due to several efforts of the government. Today, the country's forex reserve is on an all-time high," said Modi.

While referring to retrospective tax as a "mistake of the past", Modi said its abolition is likely to strengthen investors' confidence and increase trust between government and industry.

This government is doing reforms not out of compulsion but out of conviction. We have taken bold decisions, reforms continued even during pandemic, said Modi.

India today has a competitive tax structure and faceless tax system. India is progressing leaps and bounds in ease of doing business. India's forex reserve is at all-time high. 

India now has 60 unicorns, 21 of them reaching that status in last few months, added PM.

"The agriculture sector was once considered to be just a medium of livelihood. But now, efforts are being made to connect Indian farmers with the domestic and global markets through historic reforms in the agriculture sector. Another factor which you need to focus on is, the growing self-confidence of Indians. You have experienced this in the Olympics. When today's youth of India come out on the field, they don't have any hesitancy in their minds. They want to work hard and take risks. They want to yield results. India's start-ups have the same self-confidence today," he said.

The theme of the meeting is "India@75: Government and Business working together for Aatmanirbhar Bharat".

The CII Annual Meeting 2021 will be held over two days of 11-12 August.

India has witnessed a phenomenal change in infrastructure, leading to world-class facilities coming up across various sectors in the country, said S N Subrahmanyan, CEO & MD, L&T at the CII event.

As we move towards "India@75", India’s achievements as a dynamic, vibrant nation on an accelerated path to progress make us proud. Over the last few years, India has assumed an enviable global leadership position across multiple areas, said T V Narendran, President, CII.

Finance has to be the catalyst for India's growth. We must focus on a progressive world-class regulatory framework, a coordinated approach between banking and capital markets in the finance sector," said Uday Kotak, MD & CEO, Kotak Mahindra Bank.

India in this decade must use technology as the primary lever and platform to triple its GDP from $3 trillion to $12 trillion by 2031, said N Chandrasekaran, chairman, Tata Sons.