Our federalism must remain our strength: Arun Jaitley

While Karnataka has emerged as an economically progressive state on the back of a services and agricultural economy ,the state needs to attract large industries, Jaitley said.

By: Express News Service | Bengaluru | Published: February 4, 2016 5:32 am
arun jaitley, ddca, ddca scam, jaitley, kejriwal jaitley, jaitley kejriwa, arvind kejriwal, ddca row Finance Minister Arun Jaitley

With global investors looking keenly to invest in the country, India’s federal structure and democracy should not become an obstacle for economic growth but should remain its strength, finance minister Arun Jaitley said in a subtle reference to legislation and reform initiatives that have hit opposition roadblocks.

“We can never allow our federalism or our democracy to become an obstacle. We have to make sure that it remains our strength. Therefore easier decision making, easier passage of laws, easier taking of reform measures are all factors which are going to attract investors,’’ Jaitley said in his inaugural address at a global investors meet organised by the Congress government in Karnataka.

Instead of merely looking at India as the fastest growing economy in the world, investors must be encouraged to invest in the country through a track record of progressive policies, stable administration and good governance, the finance minister said. Commending the fact that states in India have initiated an era of competitive federalism he said that organisation of investor meetings alone would not translate into investments. “Businessmen are very competent people they analyse comparative advantages and then decide the destination of their investment. States which have a consistent record of good governance, stable administration, stable politics and policies, easy availability of land, resources, easier prospects of growing businesses will be destinations for investments,’’ Jaitley said.

While Karnataka has emerged as an economically progressive state on the back of a services and agricultural economy ,the state needs to attract large industries, he said. “Manufacturing is where jobs are. I think with a good agriculture and services sector it is this sector that needs concentration now. This will convert Karnataka into a region of economic activity and growth in this country,’’ Jaitley said.

‘Debt position comfortable’

New Delhi: In a foreword to the Status Paper on Government Debt released by the finance ministry on Wednesday, Jaitley said most of the debt is of domestic origin insulating the portfolio from currency volatility, with the Centre primarily borrowing from the market to finance the fiscal deficit.

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  1. Barb Dewyre
    Feb 4, 2016 at 2:20 pm
    The kind of federalism that the BJP desires is obvious in the way they are behaving with the elected government in Delhi. In JandK, where hey should never have compromised with the PDP to form a government, they defied all odds, and the surupitously tried to introduce their agenda into the game. What they believe in is their way or the highway.
    1. K
      Feb 4, 2016 at 2:02 am
      Hosting large industries is dangerous. To attract them the Government has to forget about collecting any tax from them, and worse, has to give free land. When they move in, thousands get jobs (not necessarily of that state). After some years the large industries find some other state/country more attractive. They move their factories to the new locations. The state that hosted the large industries are left with huge new unemployment and nothing else. It is better for the state to encourage enterprising atude among the local potion. This will be much better for the economy in the long run. This kind of economy will not go bust as a result of global meltdown or Chinese hiccups.
      1. Shamsul Islam
        Feb 4, 2016 at 2:30 pm
        Senior Cabinet minister in the Indian cabinet is lying about his and his party's commitment to Indian federalism. RSS as their guru has been allergic to democracy and federalism which means sharing of power. The most prominent ideologue of the RSS, MS Golwalkar, declared, “[Indian] federal form of government not only gives birth but also nourishes the feelings of separatism, in a way refuses to recognize the fact of one nation and destroys it. It must be completely uprooted, consution purified and unitary form of government be established.” [MS Golwalkar, Shri Guruji Samagar Darshan (collected works of Golwalkar in Hindi), Bhartiya Vichar Sadhna, Nagpur, nd, vol. III, p. 128.] Will Jaitley care to tell the nation that he will defy the GURU.