Promising continued reform process, Jammu and Kashmir Finance Minister Haseeb Drabu today said he is optimistic about attracting entrepreneurs and investment to the state with a suitable business environment.
He also said the situation has been improving since the state was ranked 29th last year in the World Bank's assessment of Indian states on ease of doing business.
"It is a fact that World Bank in its report on assessment of state's implementation of business reforms has put Jammu and Kashmir at serial number 29 in its ranking in the country," Drabu said in a written reply to a question of National Conference's MLC Bashir Veeri in Legislative Council.
The minister, however, said it is also a fact that World Bank has appreciated the state for the steps taken for improving the business environment.
He added that several factors were responsible for the low ranking.
"Now the situation is improving year by year and the government is optimistic to attract entrepreneurs and investment in the state by providing suitable investment environment," the minister said.
Drabu added that reforming financial structure and simplifying the system were the core initiatives, which would ultimately provide an enabling environment gradually so that economic development gears up.
The state has enforced effective liquidity consolidation mechanism to address inflow and outflow mismatch on a day to day basis.
He said the government was poised to ensure fiscal reforms by complying with the provisions of FRBM Act, 2006.
"Due to the recurrent fiscal stress over the past few years, the treasury operations in the state would get affected ultimately affecting the normal business activities in the state.
"Since last year, this trend has been reversed by focusing on fiscal deficit corrective measures so that transparent and evenly flow treasury operations are ensured to help smooth business activities," the minister said.
