CII initiatives in knowledge driven economy

By Our Special Correspondent

NEW DELHI, APRIL 28. The Confederation of Indian Industry will undertake a host of initiatives to transform the old economy into a knowledge driven economy, said the new Chamber President, Mr. Arun Bharat Ram. The initiatives will broadly cover areas such as R & D in technology and bio-informatics, WTO services, corporate governance and financial sector reforms, added Mr. Bharat Ram while addressing his maiden news conference here today after taking over as CII chief from Mr. Rahul Bajaj.

The initiatives in R & D will include close interaction between industry, the Council of Scientific and Industrial Research and R & D labs to increase awareness about the use of R & D, strengthening the patent office and setting up an enterprise development fund to help R & D start ups. Recognising the immense opportunities in the field of bio-informatics, the CII would create a genomics and bio-informatics network.

Another area of emphasis will be the small and medium enterprises. The year 2000-01 would also see a major expansion of CII's activities in the sector with the setting up of sub- contracting exchanges and an enterprise development fund to help R & D start ups.

The CII will also strive to involve State governments in the reform agenda. A start will be made by setting up taskforces in Andhra Pradesh, Delhi, Karnataka, Jammu and Kashmir, Maharashtra and West Bengal to help improve efficiency and attract investors. An analytical and empirical study to rate States in terms of competitiveness and investor friendliness will also be undertaken.

In the area of infrastructure, Mr. Bharat Ram pointed out that CII would be undertaking a major initiative in studying and recommending reforms in the regulatory framework with the World Bank and the International Finance Corporation. It would prepare reports on privatising ports and airports which would recommend the sale process, valuation and buyer profiles. In the financial sector, the CII would join hands with the U.S.-India Business Council to examine the impediments to and growth possibilities of the sector and suggest reforms with set time-tables. A CII-Asian Development Bank project would analyse the laws governing the financial sector and capital markets.

Mr. Bharat Ram said the CII had projected a GDP growth of around seven per cent during the current fiscal. Agriculture growth will be between 1.5 and 2 per cent, industrial growth at 8.5 per cent and services sector growth at nine per cent. The chamber expected inflation to hover at a higher rate of around six per cent and import growth at 11 to 12 per cent while the savings rate will be 25 to 26 per cent.

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Section  : Business
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