Today in New Delhi, India
Nov 22, 2018-Thursday
New Delhi
  • Humidity
  • Wind

PM unveils measures to make India Inc global

Vajpayee allowed Indian corporates to make overseas investment up to 100 per cent of their net worth while lifting the current restriction of $100 million.

india Updated: Jan 10, 2004 16:20 IST

Prime Minister Atal Bihari Vajpayee on Friday allowed Indian corporates to make freely overseas investment up to 100 per cent of their net worth while lifting the current restriction of $100 million, and said industry would be allowed to go global in the area of agricultural sector.

Lauding the economy for nearing the eight per cent growth target in 2004, Vajpayee announced a number of measures for expansion of Indian industry the world over and said that India had emerged as a strong economy and had transformed itself from an aid-receiving country to an aid-giving country.

Inaugurating the second Pravasi conference, Vajpayee said India was on the way to becoming a super power in information technology as the country's IT prowess had been recognised the world over.

"We have decided to permit Indian corporates to go global in the agricutural sector. The current restrictions on Indian corporates to undertake agricultural activities abroad, whether directly or through an overseas branch, will be removed," Vajpayee said, expressing confidence that the move would enable Indian companies to take advantage of global opportunities.

This would also help adoption of technological and other skills in India, he said.

Lauding the role of Persons of Indian Origin/NRIs and their contribution to the economies of their adopted countries, the Prime Minister pointed out that over Rs 55,000 crore had come from NRIs and Keralites accounted for nearly half of that.

Emphasising that India had come a long way since he inaugurated the first Pravasi Bhartiya Sammelan, jointly organised by the Government and Federation of Indian Chambers of Commerce and Industry, Vajpayee said only last month foreign exchange reserves had crossed $100 billion mark and the country was pre-paying its external loans.

India recorded the fastest growth in 2003 and the country had started attracting best of the talent back against the problem of brain-drain faced till recently, Vajpayee said.

He said IT sector had established India's technological superiority the world over. "India had become a preferred destination for IT enabled services companies."

Vajpayee said outsourcing to India was a "win-win situation" for India and the sourcing countries and fears of job losses in those countries were baseless. It was natural for companies to use technology and human resources available in the international arena to enhance their efficiencies.

Vajpayee announced setting up of a Pravasi Bhartiya Kendra in Delhi with a Rs 25 crore grant from the Government. The Kendra would strive to develop closer ties between the country and the diaspora.

He congratualed Bharat Jagdeo for having become the President of Guyana and thanked him for agreeing readily to become the chief guest for the Pravasi Sammelan.

He also said that NRIs in the Persian Gulf region and South East Asia would no longer have to pay higher fee for education of their childen and would be treated at par with Indian residents.

First Published: Jan 09, 2004 18:39 IST