Foreign investors now perceive India as “a right place to do business” due to various initiatives of the Modi government in the past two-and-a-half years, globally acclaimed French economist Guy Sorman said.
“The Modi govt has sent the right signals to foreign investors, domestic and overseas entrepreneurs. India is now perceived as a right place to do business. It may be symbolic but it is a success for Modi.
“Public bureaucracy and regulations are the main obstacles towards a more dynamic economy. To alleviate both is an arduous process against vested interests involving local governments as well as the national government. It is therefore unfair to indict Modi for the slow process,” Sorman said.
However, he added that the brand ‘Made in India’ is weak, which does not help exports.
“Indian government and business organisations should plan a global campaign to reinforce the brand, make it positive and not only as a tourist destination. Such a campaign has begun but not very convincing so far,” added Sorman, who has authored many books, including ‘Economics Does Not Lie: A Defence of the Free Market in a time of Crisis’.
The government has taken a slew of measures in the recent past to boost foreign direct investment into the country.
FDI inflow to the country grew by 29 per cent to USD 40 billion in 2015-16 as against USD 30.94 billion in the previous financial year.