Date:08/06/2004 URL: http://www.thehindubusinessline.com/2004/06/08/stories/2004060802720600.htm

Back Chambers hail economic agenda

Our Bureau

New Delhi , June 7

INDIA Inc has welcomed the unveiling of the economic agenda of the new Government by the President, Dr A.P.J. Abdul Kalam, and said that it would a go a long way in assuaging the fears and apprehensions of the business and investor community.

According to Mr M.K. Sanghi, President of the Associated Chambers of Commerce and Industry (Assocham), the industry was assured and hopeful that the Budget to follow will now be on similar lines, which would boost economic growth as well as induce wider dispersion of the benefits of such growth to a much larger section of the Indian population.

According to the chamber, it is laudable that the economic agenda of the Government explicitly mentions the need for and focuses on the key role played by the capital market in boosting the rate of investment in the economy.

Mr Sanghi added that he hoped that the exercise of consultation with trade and industry on VAT will be done without any further delay and that the value-added tax regime would be introduced before April 1, 2005.

Meanwhile, Mr Ravi Wig, President, PHD Chamber of Commerce and Industry (PHDCCI), said that the President's address outlines a roadmap for the new Government to undertake various policy initiatives aimed at accelerating the economic growth.

The PHDCCI particularly welcomed the initiative to increase the inflow of foreign direct investment.

However, the chamber added that it is desirable that a conducive and facilitative environment is created to encourage competition in the economy.