Prime Minister Narendra Modi and French President François Hollande on Sunday reaffirmed their commitments to fighting terrorism and also assured greater collaboration between the two countries on various fronts, including Defence, transport, security enhancement as 16 pacts, including one to develop Chandigarh as a smart city, were signed.
Hollande, who began his second official visit to India on Sunday with a visit to Chandigarh, which was designed by pioneering French architect le Corbusier more than six decades ago, affirmed that France would invest $1 billion every year in India and also that the Rs60,000-crore Rafale fighter jets deal with India was “on the right track” and that it would pave the way for an unprecedented industrial and technological bilateral cooperation for the next 40 years.
There has been speculation whether the final deal for India to buy 36 Rafale fighter jets would be inked during Hollande’s State visit.
Addressing the India-France Business Summit at Hotel Taj in the evening, hours after he visited architectural landmarks of Chandigarh along with Hollande, Modi said India and France had huge potential to work together in various fields.
Modi pitched for investment in India by French companies, saying India had a lot to offer in terms of skilled workforce and as a market for French products.
“We want to work closely with France... The world has accepted India as a good investment destination. India’s talent and the manufacturing (skills) of France can achieve a lot. The trust and friendship with France is an asset for us,” Modi said in his address.
In a statement aimed at addressing the concerns of foreign investors over predictability in the tax regime, Modi said his Government wants to ensure that foreign investors are clear about tax systems that will prevail in India over the next 15 years.
“I am for stable governance and a predictable taxation system. The Government is taking various steps to ensure this stability. This Government is known for stable and predictable tax regime,” he said.
In this context he referred to the Retrospective Tax imposed in 2012 through amendments in the Income Tax Act, a step which had led to an outcry and anxiety among investors, particularly foreign ones.
“Retrospective Tax is a matter of past. That chapter will not be opened again. We are ensuring that neither this Government nor future Governments can open this chapter,” Modi said.
Underscoring the need for eliminating terrorism, Modi impressed upon nations to come forward to fight this scourge.
“Fight against terrorism is work for humanity. Those who believe in humanity would have to fight against terrorism. India will stand shoulder to shoulder with France in the battle against terrorism,” the PM said.
He appreciated the efforts of France in combating terrorism without deviating from its principles and journey of progress.
“Within days of the attack, France hosted so many world leaders. People, the media of France must be appreciated,” he said. The French President, who is accompanied by a large delegation of CEOs also addressed the summit.
“It is an epic adventure, where our companies, which are numerous here, will be welcomed in India first in line. Besides, numerous job opportunities are also in line during this trip on top of the diplomatic, political and military agenda.”
Announcing that France will be investing $1 billion every year in India in various sectors, the French leader said that the investment will be increased every year.
“My visit to India has two main goals including consolidating strategic partnership with India and implement decisions taken during Prime Minister Modi’s visit to my country. The relations between India and France are bound to grow… This is not my first visit to India, but it is the most special,” said the French President.
The French leader, said, "India and France have a larger role to play in improving the climate conditions globally. Both the nations also need to fight terrorism together and eliminate the global threat through collaborated efforts."
Answering a question on the Pathankot terror strike and that most of the terror attacks in India emanate from Pakistan, Hollande said, "France strongly condemned the attack on Pathankot. India is fully justified to ask for justice against perpetrators."
"India and France are confronted with similar threats: we are attacked by murderers who pretend to act on religious basis. Their real objective is widespread hate. They want to undermine our democratic values and our way of life. India and France are united in their determination to act together against terrorism."
Pointing out that India has contributed to the success of the Paris climate conference - COP21, Hollande said, "My visit will also enable us to conclude a series of new agreements and take a step towards the implementation of the agreements we signed last year. We want to support India in achieving its goal to reduce carbon footprints and also, committed to concrete programs in renewable energies, energy storage and urban development."
"I am also looking forward to strengthen our relationship in several areas including Defense, space and civil nuclear energy, railways, smart cities," he added.
During the Summit, Indian and French companies signed 16 back-to-back agreements. Three MoUs under the smart-city initiative were signed between French Development Agency with the State Governments of Chandigarh, Nagpur and Puducherry.
An MoU with Thales was also signed to provide surveillance system in smart cities. Besides, other companies with whom agreements were signed are Schneider Electric, Alstom, lafarge and Dassault Systems among others.
The Memoranda of Understanding, which cover a wide range of sectors like urban development, urban transport, water and waste treatment and solar energy, were signed in the presence of Modi and Hollande.
"