Law, Order Problemes Affecting Investments

Industry is deeply disturbed over the deteriorating law-and-order situation throughout the country and this is affecting inflow of new investments, Confederation of Indian Industry (CII) president N Kumar said at a press conference here yesterday.

The government is lacking in will. The machinery in some states has failed, Kumar said.

If people are afraid of going into an area, how will investments flow, he asked. He, however, parried a question as to whether the situation was due to a weak Centre and the coalition nature of the government.

Kumar said his chamber would take up the issue with both the Union and state governments and reinforce the need to make the environment conducive for industry.

 

The CII president said the states have become increasingly competitive in attracting investments. He highlighted the importance of a good law-and-order machinery for furthering the growth of trade and industry.

The CII president also unveiled a 13-point economic agenda for achieving eight per cent gross domestic product (GDP) growth in 1997-98.

He predicted a 12 per cent industrial growth during the fiscal despite a slump last year, adding that the fundamentals are still strong and more credit is available at a cheaper rate.