Date:08/01/2005 URL: http://www.thehindubusinessline.com/2005/01/08/stories/2005010802240300.htm

Back PM urges overseas Indians to invest in India

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The Prime Minister, Dr. Manmohan Singh, with the Chief Minister of Maharashtra, Mr Vilasrao Deshmukh (left), and the Overseas Indian Affairs Secretary, Mr Krishna Kumar, at the Third Pravasi Bharatiya Divas in Mumbai on Friday. — Paul Noronha

Mumbai , Jan. 7

THE Prime Minister, Dr Manmohan Singh on Friday urged overseas Indians to contribute to the country's investment requirement of $150 billion in infrastructure over the next 10 years.

"We need massive investment in infrastructure, both social and economic, rural and urban to step up the rate of economic growth to 7 - 8 per cent per annum so that we can generate more employment and eradicate poverty in our lifetime," Dr Singh told delegates to the Third Pravasi Bharatiya Divas, a non-resident Indian Conference that commenced in Mumbai on Friday.

Much of this $150 billion has to come in as foreign direct investment, a substantial portion from overseas Indians, Dr Singh said. "India needs your investment. We are committed to making India attractive enough for you to invest here."

Dr Singh also said that regular financial remittances from people of Indian origin in the Persian Gulf region has helped build the country's foreign exchange reserves that now stand at $130 billion. Currently, there are 25 million overseas Indians living in 110 countries. But there are issues of concern pertaining to work contracts and conditions.

The Government is also conscious of the need to protect the returns on the savings of non-resident Indians.

Ideally we should try and wean away NRIs in the Gulf from bank deposits to debt or even equity-oriented savings," Dr Singh said.

Economic policies initiated by India over the last one decade have helped connecting with overseas Indians, he said.

"There is much that you can contribute both through the inspiration of your example and through investment in our future investment." Dr Singh announced that his Government would grant dual citizenship to all overseas Indians who migrated from India after January 26, 1950.

The Government, he said, has received several requests for such a facility. However, this would depend on the host country where the overseas Indians reside, he said.

The Government would simplify the procedure for citizenship.

The Prime Minister also urged non-resident Indians to support elementary education programme outlined by the Ministry of HRD.