Date:19/06/2004 URL: http://www.thehindubusinessline.com/2004/06/19/stories/2004061901821900.htm

Back YSR terms Mumbai visit `productive' — RBI, Nabard respond favourably

Our Bureau

Mumbai June 18

THE Reserve Bank of India (RBI) and Nabard have responded favourably to the plea made by the Andhra Pradesh Government to come out with a special package for the drought-stricken farmers in the State, involving re-scheduling of the existing loans and fresh lending to the farm sector.

This indication was given to the Chief Minister, Dr Y.S. Rajashekara Reddy, who met the RBI Governor, Dr. Y.V. Reddy, and the Nabard chairperson, Ms Ranjana Kumar, in Mumbai on Friday.

Dr Reddy, who described his first visit to Mumbai after assuming office as "productive", also met captains of the Indian corporate world such as Mr Mukesh Ambani, Mr Adi Godrej, Mr V.N. Dhoot, Mr Ashok Hinduja, Mr Deepak Parikh and Mr N. Piramal.

Talking to press persons, Dr Reddy said while the Reliance and Hinduja groups saw massive opportunities in the power sector in Andhra Pradesh, the gem and jewellery industry in Mumbai had shown interest in setting up new units in the State.

"My message to the industrialists was clear. The State Government was pro-active and reform-friendly. The State has a good industrial climate, with significant investment opportunities," he pointed out.

Replying to a question on the Formula 1 project proposed by the previous State Government, he said "We find the Rs 1,000 crore outlay for the project heavy for us to take it up alone. We will be asking the Centre to fund a major portion of it. We are in no position right now to take it up on our own."