Hindujas ready to contribute to India growth

The Hinduja Group Saturday voiced its readiness to contribute to the reviival of growth in the Indian economy, saying its fundamentals are strong.

Welcoming Finance Minister P Chidmabaram's statement that the government would take all possible measures to stabilise the rupee, facilitate capital inflows and spur growth,

co-chairmen SP Hinduja and GP Hinduja said their Group is ready to play a "constructive role" in reviving the economy.

"The Hinduja Group remains ready to play a constructive role in the revival of the Indian economy," the brothers said in a statement.

Both said Chidambaram's words were reassuring "because it provided facts, whereas earlier, speculation, especially in the currency market, was occurring without knowledge of the realities. Unsurprisingly, the statement led to a recovery in the Indian stock exchanges and to an appreciation in the value of the rupee."

Saying that the state of the economy in any country depends on fundamentals and management, the Hinduja brothers suggested some measures the government could take.

These included speedily clearing some large investment projects, assuring against any retrospective application of laws, and amending land acquisition, mining and labour laws.

They said the government could consider a voluntary disclosure scheme to incentivise money held abroad and the NRIs could be mobilised to invest through imaginative ways.

"The shareholding of NRIs/OCIs in Indian companies should be treated on a par with Indian shareholders. FNCR deposits from foreign corporations owned by NRIs/OCIs should be allowed, instead of only for individuals," said the statement.