Reforms to continue: Singh

Prime Minister Manmohan Singh yesterday reiterated that his government's policy would be to encourage the strong development of Indian industry.

His government would create an environment conducive to productivity and efficiency, growth, innovation and creativity and risk-taking by the Indian corporates, he told a Confederation of Indian Industry (CII) delegation today.

Singh told the CII delegation that there would be continuity in the reforms programme. The government's policies will be FDI-friendly and the overall approach will be to encourage greater value creation by Indian industry.

The government would want to see a vibrant capital market in the country through an environment, which would encourage FIIs, he said.

On interest rates, he said a pragmatic approach was called for, which would encourage savings and make industry efficient.

He added that another priority of the government would be to revitalise the rural areas in the country and called on the corporate sector to play a key role in enhancing rural development through improved connectivity by way of roads, information and communications technology, and marketing inputs.

Stressing the importance of the small scale sector, Singh said the government's philosophy would be to promote the healthy development of the small scale industry sector.

He called for a more synergistic role between the large and small scale sectors. It was also the government's intention to dismantle the Inspector Raj, he said.

The Prime Minister mentioned that it was his intention to make the life of the common Indian easier and hassle-free. The same philosophy would apply to the corporate sector, he said.

Manmohan Singh said he would like to strengthen the partnership between government and CII to ensure the all-round development of the economy.

The CII team which called on the Prime Minister comprised Sunil Kant Munjal, president-elect CII, Tarun Das, Director-General, CII, past president Jamshyd N. Godrej, and N Srinivasan, Director-General (Designate).

Getting the assurance

• The government will create an environment conducive to productivity and efficiency, growth, innovation and creativity and risk-taking by the Indian corporates
• The government policies will be FDI-friendly and the overall approach will be to encourage greater value creation by Indian industry
• Called on the corporate sector to play a key role in enhancing rural development through improved connectivity by way of roads, information and communications technology, and marketing inputs