Vice President M Venkaiah Naidu today called upon the industry to shed its hesitation to make investments and facilitate economic growth. He opined that industry which is one of the main drivers of the economy must complement the efforts of the government. “Government spending alone cannot push the economic growth rate to levels that we wish to achieve,” he added.
Speaking at the centenary year celebrations at Jamshedpur, the Vice President said that Public-Private Partnership (PPPs) was one of the best models for development in a developing economy like India.
In my view, it is the best way forward to develop infrastructure and other projects that give a fillip to economic growth. I am sure that PPP models would lead to improved efficiency and faster delivery of services.
Opining that ethical corporate governance was the need of the hour, the Vice President said that a strong foundation in ethical values must be the basis for exemplary corporate governance.
He appreciated the Tata Group for being synonymous with high ethical standards and the pioneering spirit of entrepreneurship. Observing that company’s ethics, values, and social responsibility play an important role in building its reputation, Vice President Naidu said that conducting business in an ethical manner builds confidence among customers and investors.
Referring to the recent policy interventions of the Reserve Bank of India, Vice President Naidu said the measures were aimed at lowering the cost of funds for banks and providing funds to the industry.
He said that loans to the automobile sector, residential housing and micro, small and medium enterprises have been kept outside the purview of the cash reserve ratio, which at present stands at four per cent of banks’ deposits.
Pointing out that the Reserve Bank of India had projected a GDP growth rate of six per cent for the financial year 2020-21 he said that investment outlook in the Indian economy has begun to show
signs of improvement and the inflation pressure was likely to ease in the financial year 2020-21.
“The three arms of India’s growth engine – private investment, private consumption, and exports – are expected to pave the way for the long-term economic growth of the country,” he added.
Vice President Naidu while pointing out that the poor and people having low income bear the maximum brunt of the problems caused by the changing climate and global warming called for must exploring ways to ensure a development that is both sustainable and resilient to climate change.
The Vice President said that the time has arrived for the private sector to increase its investments in new and renewable energy.
“It will not only reduce the cost per unit considerably but would also reduce India’s dependence on fossil fuels,” he added.
Stating that ensuring a viable, sustainable livelihood for those living in rural areas should the priority for all, the Vice President asked India Inc. to think of contributing to rural prosperity by
taking up projects that generate economic activities and employment.
He called for Public-Private Partnership in providing employment, education opportunities and healthcare facilities for the rural population at the local level.
Vice President Naidu recalled the contributions and the legendary role of JRD Tata, in setting up India’s first steel plant at Jamshedpur and said that he was not only a doyen of the Indian industry, but also was a visionary leader who foresaw a rising India.
Vice President Naidu said that late JRD Tata guided the destiny of the Tata group for over half a century and led the empire by example.
The Vice President also recalled the association of Mahatma Gandhi and Netaji Subhas Chandra Bose with the city and said Bose that took over as President of the Labour Association at the behest of the Father of the Nation, Mahatma Gandhi and worked towards an immediate settlement that was honourable and the harbinger of a long-term relationship between the labour and the management.
Stating that automation was expected to play a major role in the coming years and the workers of the future would have to be highly adaptable, the Vice President urged all business enterprises and manufacturing units to train and retrain their employees to face future challenges.
“Bridging the skills gap among the workforce must become an essential component of every organization’s activities,” he added.
Observing that a large part of our economic activity was dependent on farmers and sectors allied with it, the Vice President opined that there was an urgent need for collective efforts to double the farmers’ income and ensure that agriculture becomes profitable and sustainable.
While appreciating the government for its efforts to increase farmer’s income, Vice President Naidu urged the private sector to contribute by constructing cold storage facilities, providing transport facilities from villages to the nearby market yards as part of their CSR activity.
On this occasion, the Vice President complimented all the citizens of Jamshedpur on the completion of 100 years of their city and wished that the city continues to be a role model for sustainable