Supporting government’s initiatives and policy actions, the Associated Chambers of Commerce and Industry of India (Assocham) has awarded the Narendra Modi government seven out of ten marks for its performance over the past year. Though, the industry body lauded the government for improving the macroeconomic situation, financial inclusion, Swachch Bharat initiative, coal auction, and clearing difficult legislation in Parliament; it said a lot was still to be done to improve the ease of doing business in India. It said that the government has made a good beginning, though it now needs to move faster on things like Goods and Services Tax and send a new signal of confidence.
Assocham has also said that the NDA government has to cover some ground in terms of taxation issues, particularly with regard to FIIs' problems on retrospective liabilities and in taking big-ticket infrastructure projects off the ground. The chamber also said the focus must remain on further improving ease of doing business, as at the state level, a lot needs to be done.
Talking about the industrial output, it said that the growth in industrial production is not only a function of government policies but also a lot of domestic and global macro factors, which do not seem to be very friendly. It further stated that the global environment for manufacturing is not conducive, as has been reflected in the downward trends in exports of merchandise goods.
Assocham commenting on Prime Minister Narendra Modi's foreign visits said that it has brought in qualitative change in the way our economic diplomacy is being pursued and the Prime Minister should continue to engage with important powers such as the US, Germany, China and neighbouring countries. According to Assocham, qualitative changes in economic diplomacy have resulted in missions abroad being much more aligned with economic programmes such as Make in India, Smart Cities and Swachch Bharat Abhiyaan.