...hints at more liberalisation of FDI regime
Expressing commitment to continue with reforms, Prime Minister Manmohan Singh on Wednesday indicated Government will further liberalise FDI regime in the coming months and push the land reforms measures. "The liberalisation of FDI in multi-brand retail, civil aviation and other areas, are important signals. We are reviewing the FDI policy comprehensively to see what more can be done in the coming months," he said at the CII annual meet. The private sector, the Prime Minister said, needs an environment in which enterprise can flourish and create both jobs and stimulate growth to ensure that it remains inclusive. "The environment today is not what it should be, and that is what the Government must correct," Singh said adding that more reforms are being considered by the Government. The Prime Minister said "the land Acquisition and Rehabilitation and Resettlement Bill has been cleared by the Cabinet and will soon go to Parliament".
...Efforts on CAD to moderate it
Prime Minister Manmohan Singh on said the Government will make every effort to woo foreign investment to bring down the Current Account Deficit (CAD) which is stimated at 5 per cent of GDP in the 2012-13, twice the comfort level."Fiscal expansion has led to an expansion in the current account deficit which is expected to be around 5 per cent of GDP. This is more than twice the traditional comfort level of say 2.5 per cent," Singh said while addressing CII AGM here. The CAD, which is the difference between the outflow and inflow of foreign currency, had touch a record high of 6.7 per cent in December quarter mainly on account of higher gold and oil imports and slowdown in exports. "We can expect some reduction from this level in 2013-14, reflecting the lower fiscal deficit targeted in the Budget and also the lower subsidies on petroleum products.
...Efforts on to resolve fuel issues
Prime Minister Manmohan Singh on Wednesday said efforts are on to resolve fuel supply issues faced by the power sector in a time-bound manner and hoped to see results in the next three weeks. The assurance comes amid severe coal and gas shortages faced by the power sector, leading to lower electricity generation in the country. "The problem of fuel supply–both coal and gas-to power projects has been posing problems. The Ministries are workin to reach a resolution of these problems in a time-bound manner. I hope we will see results in the next three weeks," the Prime Minister told a CII event.