'Manufacturing zones to create more jobs'

National investment and manufacturing zones under the new manufacturing policy would create more jobs and help de-risk unemployment, Reserve Bank of India Deputy Governor, Subir Gokarn, has said. He was speaking at the Confederation of Indian Industry's Manufacturing Summit here on Wednesday.

On the process of labour reforms, Gokarn said the incremental security could be coupled with a degree of differentiation between old and new workers. The ability to distribute the impact of business cycles across sectors was crucial, he said.

Gokarn said India was a middle-income economy, owing to the massive shift from being an agricultural country to an industrial one. There was need to look at the long-term role of manufacturing and the challenges involved in creating a conducive environment for the manufacturing sector in India, he added.