Headlines
Moved with speed, boldness to create stable economic environment: Modi at Hannover
Hannover, April 13
Saying that the Make in
India lion was a "symbol of new India" and a "national movement", Prime
Minister Narendra Modi on Sunday told the Hannover Messe audience that
his government has moved "with speed, resolve and boldness" to create a
stable economic environment, including by opening up FDI in insurance,
defence and railways, building a stable tax regime and assured
protection of Intellectual Property.
In his inaugural address at
the Hannover Messe, the world's largest trade fair in which India is the
partner country, Modi said, with German Chancellor Angela Merkel
listening keenly that all the credit rating agencies have spoken "in one
voice of optimism about India. We know that the wind is blowing in the
right direction, and it has made us the fastest growing economy in the
world."
He said that in this time of political instability and
economic challenges and with threats of violence, "India will do its
part as an anchor of economic stability, an engine for growth, and, as a
force of peace and stability in the world."
Touching on key
elements, Modi said that investors seek not just an attractive
destination but also an environment that is stable where rules won't
change frequently, and "there would be no surprises".
"So, we have moved with speed, resolve and boldness to fulfill our pledge".
He
said his government is creating a "stable economic environment that
inspires confidence at home and abroad", for which it is pursuing
strong fiscal discipline. "I know how much Chancellor Merkel will
appreciate that point!", in reference to Merkel's insistence that the
Eurozone countries abide by fiscal discipline.
Enumerating the
"sweeping steps" taken by his government, including opening up more FDI
in insurance, construction, defence and railways, Modi said: "We are
removing unnecessary regulations and simplifying our procedures" and
using digital technology to eliminate multiple approvals and endless
wait.
Modi said the government has set up Invest India and
country desks that will be networked to the states. "We will nurture
innovation and protect your intellectual property...We are reforming
institutions in ways that has not happened in decades.
We are
building a tax regime that is predictable, stable and competitive. We
will now address the remaining uncertainties. The Goods and Services
Tax is a long needed revolution that is becoming a reality."
He said the Railways will now be a fast track to India's transformation and open to 100 percent Foreign Direct Investments.
He
said the government has set up a National Infrastructure and Investment
Fund and a new institution for integrated development of the
infrastructure sector. He said the government has set a target of 175
Giga Watts of new capacity for renewable and clean energy in the next
seven years.
Modi said his government has moved with transparency
and speed and resumed long stalled projects and allocation of
resources. The government is "instituting a rational framework for
acquisition of land without causing distress to farmers and other
landowners", he said referring to the land acquisition bill.
"We
are creating a predictable and transparent environment approval
process that will protect our natural heritage", he said and added that
his government is moving in tandem with the states.
"But, I am
also aware that it is easier to change policies and write new laws than
it is to change attitudes, culture and systems. Every CEO who has tried a
turnaround knows that. Our task is huge, it won't be completed
overnight. But, I am confident that it will. And, we are moving firmly
and clearly in that direction. The wind of change is there. and, it is
gathering speed," Modi said in a speech that was loudly applauded.
Earlier,
in his speech, Modi thanked the Hannover Messe authorities for their
generosity in "allowing us to unleash our lions in this city". He said
the lions "are a symbol of a new India. They roar, but with a message
of friendship and promise of partnership, from 25 billion people of
India.
This is also the message of 15 states, 20 CEOs and 350 companies from India participating in this Fair."
Merkel, speaking in German, said that a forum would help both countries chart a new course in the future.
She
said Germans have "shown they are flexible to accept a lion's presence
in our midst and allowing it to move". She said Germany "very warmly
welcomes" the Indian delegation, "including a lion", evoking smiles.
Merkel
said India and Germany would hold inter governmental consultations
later in the year when they can go over their problems.
"India and Germany should also change the way we do business," she said.
She said Germany has cooperative federalism and can learn from India's example.
Referring
to the trade volume, she said it stands at $16 billion and Germany is
the most important trading partner in the EU "and we wish to remain that
way".
Referring to Modi's France visit, she said that she was
aware that he is coming from the neighbouring country "and we know we
have huge competition" and the more the competition the better it will
get.
She said Germany will also have a Make in Germany and also a platform for the SMEs in the fair.