December 2021 \ Business & Investment \ BuSINESS AND GOVERNANCE
FM interacts with state Governments

Some of the ideas shared by the states to facilitate investment promotion during the meeting were: Affidavit-based clearance system; Transparent mechanism for investment facilitation that involves sharing with states; leads of prospective investors who are in touch with the Centre etc. The states also emphasised the need for a clear-cut policy and SOPs on environment and forest clearances by the government of India, on the lines of ‘Eco-Economics’, and more power to states under forest/environmental matters.

 The states also sought fast-track clearance and approval for the externally-aided projects by the government of India. The states also suggested the need for a legal reassessment and intervention on the legality of conversion of several different types of lands into industrial parks. They also said that there is a need to strengthen the dispute resolution mechanism, post-award contract enforcement etc. The states sought continuation of the Centre’s scheme of loan for capital expenditure beyond the current financial year.