New Delhi: Department of Industrial Policy and Promotion (DIPP) secretary Ramesh Abhishek on Thursday said that India has the potential to be ranked among the top 25 nations among on World Bank’s Ease of Doing Business rankings.
Mr Abhishek, who was speaking at a CII event, said that to make this happen, the government is working assiduously at the ground level by building capacities at the district level in every state and adopting a feedback mechanism for various implemented reforms.
In October, India rose 23 places to move to 77th position in World Bank’s global Ease of Doing Business rankings due to “sustained business reforms over the past several years.”
Mr Abhishek said that the government has no proposal to change the existing foreign direct investment (FDI) policy in the multi-brand retail trading sector. “You know the multi-brand retail policy that exists today. There is no proposal for change,” he said.
He was replying to a question whether the government is looking at increasing FDI cap to 100 per cent in the sector, a politically sensitive segment.
Although the current FDI policy permits overseas players to hold 51 per cent stake in an Indian multi-brand retail company, the BJP in its election manifesto had opposed overseas investment in the retail segment.
So far, only one foreign player, Tesco, has received approval for opening stores under the multi-brand retail policy. The previous UPA government had cleared the proposal. Mr Abhishek said the $650 billion retail sector is growing fast and that it holds huge potential for businesses.
“Organised retail is only 10 per cent (of this figure) and out of that ecommerce is only 3 per cent. I think there is a tremendous scope for growth in e-commerce and organised retail," he said.
Mr Abhishek said with growing middle class and increasing incomes, the retail sector is set for a massive revolution.
“So there is a plenty of scope to make money and do well,” he said.