The US government has expressed that to attract investments from across the world it is important for India to ease its business environment and also to simplify its tax regime. Nisha Desai Biswal, US Assistant Secretary of State for South Asian Affairs said ahead of the maiden bilateral Strategic and Commercial Dialogue (SCD) in Washington on September 22 that for India to achieve its goal of sustainable growth and development, it must assure global markets and international investors that it is open for business. She further stated that efforts to simplify its tax code and increase the ease of doing business will pay huge dividends. Biswal spoke at the launch of a report, 'India's Rise: A Strategy for Trade-Led Growth'compiled by Fred Bergsten, founding director of Peterson Institute of International Economics.
Biswal said that ease of doing business, IPR, proposed bilateral investment treaty and India's entry into groupings such as Asia-Pacific Economic Cooperation and Trans Pacific Partnership are expected to dominate the maiden SCD. External affairs minister Sushma Swaraj and commerce minister Nirmala Sitharaman will represent India at the SCD. Biswal said that the Modi government can give signs to show its commitment to reforms, such as the strengthening of Intellectual Property Rights (IPR) and added that in order to innovate, attract investment and compete the Indian firms creating those new technologies will need strong IPR protection.
According to Bergsten’s report, India can clinch the growth mark of 8% to 10% growth by liberalizing its trade regime as desired by the Prime Minister Narendra Modi. This will help in creating jobs and assist India in reducing poverty. It further stated that India could increase exports by $500 billion a year by joining the next stage of the Trans-Pacific Partnership trade agreement.
Biswal further said that if India and US can complete a bilateral investment treaty, it would become India's highest-standard investment agreement which would attract much-needed capital for a variety of sectors, including infrastructure, energy, health and education. In a bid to make the tax regime simpler and aid ease of doing business in the country, the government is already striving to get two important bills Goods and Services tax and the Land Acquisition Bill in the parliament.
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