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SMEs hold key to revive investments
Context
The current episode of investment slowdown is ongoing, and one that is impacting growth, and therefore investment revival needs to be prioritised urgently to arrest more lasting impact on growth
Measures to regain growth
To help India regain growth, the Survey suggested that the measures, that need to be taken soon,
- Should include easing further the cost of doing business and creating a clear and stable tax and regulatory environment.
- The government must create a conducive environment for small and medium industries to prosper and invest to help revive private investment
Savings slowdown
The Survey raised concerns over slowdown in savings saying that too was ongoing.
Question asked
Referring to the simultaneous slump in savings and investment, the Survey asked, “Should policies that boost investment (substantial infrastructure push, reforms to facilitate the ease of doing business or the ‘Make in India’ programme) be given greater priority over those that boost saving?”
