Government's Focus on Attracting Foreign Direct Investment (FDI)
The government is prioritizing certain sectors to attract more Foreign Direct Investment (FDI) in an effort to boost the economy.
Key Sectors Identified for FDI
- Chemicals
- Electronics System Design & Manufacturing (ESDM)
- Leather and Footwear
Strategies for Increasing FDI
- Working with states to develop a comprehensive plan to attract overseas investment.
- Focus on diversifying supply chains, with interest from certain toy companies in shifting part of their operations to India.
- Collaboration with specific states like Andhra Pradesh and Karnataka.
- UP, Odisha, MP, and Maharashtra are seeing a rise in FDI.
The overall goal is to increase the annual FDI to $100 billion from the current $70-80 billion.
Jan Vishwas Initiative
The government is also pushing for ease of doing business through the Jan Vishwas 2.0 legislation, aimed at decriminalizing and deregulating certain laws.
Objectives of the Jan Vishwas Bill 2025
- Promote ease of doing business and improve regulatory compliance.
- Decriminalize over 100 provisions to reduce legal complexities.
- Eliminate or simplify more than 40,000 compliances nationwide.