Seoul: Prime Minister Narendra Modi said here Thursday the Indian economy is based on sound fundamentals and will in the near future double in size to USD 5 trillion, as he hardsold the country as a ‘land of opportunities’ to investors in South Korea.
“No other large economy in the world is growing at over seven per cent year after year,” Modi said at the ‘India-ROK Business Symposium’ here during his visit to the Republic of Korea. Over 600 Korean companies such as Hyundai, Samsung and LG Electronics are already invested in India and the Prime Minister said ‘we aspire to welcome many more’. “And, (car maker) Kia is soon to join this club,” he added.
To ease business visits, India since October last year is giving Korean nationals visa on arrival, he said.
Modi also asserted that the Indian economy is on sound footing. “The fundamentals of our economy are sound. We are well set to become a 5 trillion dollar economy in the near future,” Modi informed.
Modi said hard policy decisions such as the introduction of the Goods and Services Tax (GST) and opening up of more sectors has helped India jump 65 places on the World Bank’s ‘Ease of Doing Business’ ranking to the 77th position. “We are determined to move into the top 50 next year,” Modi stated.
“We are one of the most open countries for foreign direct investment today. More than 90 per cent of our sectors are now on automatic route for approval. As a result of this and the confidence in India, we have received FDI worth over USD 250 billion over the past four years,” added the Prime Minister.
India, the world’s sixth largest economy at USD 2.5 trillion, is changing from being agriculture-dominated to an economy-led by industry and services and one that is globally inter-linked which rolls out red carpet instead of red tape, the Prime Minister said.
“India has emerged as a land of opportunities. While we work for realising the ‘Indian Dream’, we seek like-minded partners. And, among them, we see South Korea is truly natural partner,” Modi stated.
India is among the top 10 trade partners of Korea and India is the sixth largest export destination for Korean goods. Trade between the two nations reached USD 21.5 billion in 2018.
“The negotiations to upgrade the Comprehensive Economic Partnership Agreement have been fast-tracked to achieve the bilateral trade target of USD 50 billion by 2030,” Modi pointed out. “Not just trade, in investment terms also we are seeing a positive turn. And Korean investments into India have reached a cumulative figure of almost USD 6 billion.”
Listing projects that need foreign capital, Modi said the Sagarmala port projects need USD 10 billion in five years.
Recognising the importance of supporting India’s infrastructure development, India and South Korea have identified USD 10 billion under Korea’s Economic Development Cooperation Fund and Export Credit to finance such projects.
PTI