Foreign direct investment growth falls to four-year low in 2017-18
09 Juin, 2018, 18:06 | Auteur: Auguste Feret
Commerce and industry minister Suresh Prabhu on Friday said gross foreign direct investment (FDI) inflows rose marginally in fiscal year 2017-18, playing down a recent report by the United Nations Conference on Trade and Development (UNCTAD) that showed a dip in inflows in 2017.
It may be noted that during the last four years of Modi government, FDI inflows jumped to $222.75 billion compared to $152 billion in the previous four-year period.
"What we are saying in RCEP is that it is a comprehensive economic partnership pact and in this services should be an integral part of the agreement", he said.
Prabhu said that India will soon be a $5 trillion economy and his Ministry was preparing a plan to ensure that the manufacturing sector contributes 20 per cent to the GDP in the next seven years. "I had consultations with representatives of all major sectors".
Prabhu said that to facilitate the 8 per cent potential growth, the government is working on several areas including formulation of a new industrial policy, "which is going to make India ready for the fourth industrial revolution and beyond".
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When asked about the impact of the RBI's decision this week to raise the benchmark lending rate by 0.25 per cent, the minister said: "I do not think it should hamper investments".
On his U.S. visit next week, Prabhu said that he would meet his counterpart and industry leaders and raise India's concerns about tightening visa regime in the USA and its impact on Indian IT sector.
On the USA challenging India's export support programmes, Prabhu said he would explain that those measures are not subsidies and instead ways to partially offset various additional costs incurred by them.
India is also expected to raise its concern regarding the USA review of the generalized system of preferences through which Indian exporters get preferential market access to the US. "But what we are doing today is not violating any WTO rule", he added.
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