RBI to draft paper on liberalizing ECB norms, says Shaktikanta Das

While inaugurating 'Global Investors India Forum', Economic Affairs Secretary, Shaktikanta Das announced that the RBI will draft paper on liberalising certain External Commercial Borrowing (ECB) norms.

Das revealed the news of RBI releasing the papers very shortly for suggestions from the public at an event organized by ASSOCHAM.

"We cannot have the luxury of giving 2 months time for discussion because enough has been said and enough has been heard. Now, the time has come to decide and move forward. So, a very short time window will be given for some suggestion just to ensure we have not lost out on any point, it will be our effort to liberalise ECB.", said Economic Affairs Secretary.

"Foreign direct investment (FDI) reforms, a series of measures have been taken in the last one and half years, sectors have been opened up but there is still lot more to do.

Shaktikanta Das also added that the policy initiative is round the clock, a 24x7 exercise and it will continue and the government will initiate a series of reform measures from time to time.

Government expects a big bloom in investment in India with the new framework for External Commercial Borrowing norms, Foreign direct investment, financial instruments replacing gold in personal savings and stable and simple tax system, said the Economics Affairs Secretary at an ASSOCHAM event.

Adding further he said, while the fluctuating monsoon has been the cause of concern and the government is fully aware of its consequences, we are confident to deal with the situation. Thanks to huge amount of buffer stock which there is the government godowns. The government is fully aware of the problems and the situation to deal with.

The China off late has been recording slow growth rate on a very high base rate. So, Chinese slowdown we need to qualify by remembering it is on high base but nonetheless the reason in slowdown in china and the government of that country is definitely very much concerned that have been adjusting their currency devaluation to deal with situation.

Others present at the event were Ismail Ersahin, Executive Director, World Association of Investment Promotion Agencies (WAIPA) and others.