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World Bank ranking proves the Gujarat model works: Saurabh Patel

Interview with Gujarat finance minister

Saurabh Patel
Saurabh Patel
Vinay Umarji
Last Updated : Sep 16 2015 | 2:06 AM IST
Gujarat has silenced its critics by being ranked highest in terms of ease of doing business in the latest report by the World Bank. According to Gujarat finance minister Saurabh Patel, the state now wants to widen the gap with the next rank holder. Patel tells Vinay Umarji that Gujarat has high level of preparedness for the goods and services tax (GST) rollout on the back of its existing Value Added Tax Information System. Excerpts:

Gujarat has been ranked number one in terms of ease of doing business in the World Bank's latest report. What factors have worked in favour of Gujarat?? Has the ranking put to rest any doubts about the Gujarat model?

Yes, indeed. The latest ranking itself proves the Gujarat model (works). India was ranked 142 out of 189 nations in terms of ease of doing business and Prime Minister Narendra Modi took up the issue and set a three-year target of being ranked under 50. All states started gearing towards it.

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In fact, the DIPP (Department of Industrial Policy and Promotion) started approaching each state and began evaluating them on eight major parameters and 285 questions that included areas such as setting up of business, allotment of land, and key infrastructure, among others.

Gujarat chief minister Anandiben Patel also took a keen interest in it and we saw to it that we continue to improve in each of these areas. The involvement and synergy of all state departments has also played a role in it.

Among the eight most important parameters on which the states were evaluated, there were some areas where Gujarat fell behind other states such as Punjab, Maharashtra and Madhya Pradesh. What more do you think Gujarat could do to outperform in these parameters and consolidate on its position?

As the report suggests, there are certain parameters where we can still grow and we'll continue to identify such parameters and grow in them. For instance, none of the states including Gujarat is in the 75 per cent range and we see a huge scope of growth there.

We are continuously working on a mechanism by which any parameter, which is not doing well, will be addressed immediately. The biggest challenge we foresee as a state is that of constant improvement.

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First Published: Sep 16 2015 | 12:43 AM IST

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