New Delhi: India Inc said Thursday that the government has assured to take action soon to revive the industry and push economic growth, which is showing signs of a slowdown.
Finance Minister Nirmala Sitharaman and ministry officials met captains of the industry here Thursday to deliberate upon the issues about the economy and sagging industrial growth.
JSW Group Chairman Sajjan Jindal said after the meeting: “It was decided that the government is going to take action very soon to revive the industry and it is a matter of sentiments. We got positive feedback from the Finance Minister.”
Minister Nirmala Sitharaman in clear terms gave assurance that ‘very soon’ solution would be found said Jindal, adding the industry is suffering from issues in sectors like steel, NBFC, and automobile.
Piramal Enterprises chairman Ajay Piramal said that the industry raised several matters such as reluctance of banks to lend to the industry.
“It is not that there was a lack of liquidity in the banks, but lending was not taking place. There is stress on the economy as far as NBFC sector was concerned,” Piramal told reporters after the meeting. He added that the NBFC issue is impacting sectors like auto, home loan, and MSME. “I am told that there will be action soon. So, we will wait for that,” Piramal informed.
It was also assured by the government in the meeting that punitive penal provisions concerning non-compliance with CSR spending norms under the Company’s law would not be pursued.
Vice-president CII, TV Narendran said that the government sought views on ways to further stimulate the country’s economic growth. “Across the board, we discussed the key issues,” Narendran said. “Slowdown in the auto industry would have an implication on the steel sector and hence this issue needs to be looked into immediately.”
Former Ficci president Jyotsna Suri said that the cut in interest rates should be passed on to borrowers. Assocham president BK Goenka sought stimulus package to kick start investment cycle in the economy. The industry chamber suggested a stimulus package of over rupees one lakh crore.
PTI