Reflecting its disenchantment over the investment climate in India,Corporate America has told the White House there is a vacuum at the Centre and political power is devolving to strong State leaders.
The US India Business Council (USIBC) the apex body of American corporates doing business in India in a secret memorandum sent to the White House,however,noted that there is a silver lining reflected in the recently held Assembly election,which shows that Indian people are hungry for progress.
What is apparent is that political power is devolving to strong state leaders,and the vacuum at the Centre is allowing forces in government to move on issues that are harmful to Indias investment climate, the USIBC Chairman Harold Terry McGraw III,said in a letter to Mike Froman,Deputy National Security Advisor to the US President,Barack Obama.
The Compulsory License case,the Procurement bills,the effort to expand the Essential List of Medicines are all examples where there is little political benefit,which indicates that the bureaucracy has a hand in moving these initiatives, he wrote soon after his return from India where he recently led the Councils executive mission.
A copy of the letter dated March 26 has been obtained by the PTI,whose existence has been confirmed by multiple sources.
Conceding that the US corporate sector is disappointed,an Indian diplomat said that it has been quite some time now that they have been conveying to New Delhi the sentiments of the private sector here,which played a key role to ensure the passage of the India-US civil nuclear deal,despite heavy odds.