‘Case-by-case approval system should be reduced’

What is important from our point of view is that government and industry should work together to address the issues. Our theme for the year is reviving growth through reform and governance. We feel that there should be a focus on growth in this financial year as growth has started to decelerate. Agendas such as inclusiveness,employability,sustainability cannot be taken forward unless there is growth.

What is the top issue to be addressed to change the perception?

The reform process should go forward. Governance and transparency should improve. Even the case-by-case approval system should be reduced. We don’t think all problems in the country can be resolved very quickly. But even if some of them are resolved,growth can be improved.

Are interest rates the most important factor in reviving growth? 

It is a very important thing. Industrial investments get affected as interest rates are high. Consumption in certain industries like automobiles and housing get impacted. There is a strong correlation between reasonable interest rates and high growth. We hope interest rate cut continues.

In your interaction with Opposition leaders on issues like GST,what was the feedback?

We have been working on consensus building. Our representatives also met state ministers at the meeting of the Empowered Committee. But not all issues are at the Central level,there are many at the state level also. CII will try to help resolve these.

Do you think recent tax proposals will affect investor perception?

Retrospective amendments create a very bad negative perception and will affect investments and sentiments. We don’t think it is right. Provisions on GAAR should also be relooked.

Does affirmative action require a quantum jump in attitudes?

No,I think it is progressing very well. Many of our members are strongly emphasising on affirmative action. But do remember that a body like CII can only set an example. Once a good example is set,it attracts a lot of people and then becomes a norm.

Do you think companies which claim sops should reserve about 5% of jobs for weaker sections?

You don’t need such quotas. Many companies are employing a far higher percentage from underprivileged sections. Rather than mandating,it is much better to motivate. Even in corporate governance,you can make rules,but people have ways of getting around them.