Create opportunities for profit-making: FM

Finance Minister P Chidambaram today favoured greater freedom for market forces to facilitate capital inflows.

Participating in a panel discussion on "Creating a Conducive Ecosystem for building world-class institutions" at a leadership round-table organised by Satyam Computer Services today, Chidambaram said capital flow would be decided by the opportunity for profit-making.

"We have to create such opportunities and allow them to work and markets themselves would lead investments to profitable sectors," he said.

Giving an example of three recent infrastructure projects in Gujarat, the Finance Minister said there had been a shift from seeking securities/viability gap funding for public and private partnership (PPP) projects to paying sums to the government. "We are now entering a phase of negative grants," he added.