New Delhi, June 23 (KNN) Ease of doing business will need constant monitoring and improvement, Finance Minister Arun Jaitley has said adding that for growth to gain traction, it was imperative that private sector investments picked up.

While addressing a high level luncheon meeting with top US multinationals on Monday in San Francisco, Jaitley highlighted the improved economic and investment conditions in India.

Jaitley alluded to the much stronger economic fundamentals and mentioned that the monsoon prediction is improving and with it, the prospects of the agriculture sector is doing better. This will put the economic growth prospects on an even better footing.

He also said that the manufacturing sector had started to do much better after a protracted period of slowdown.

Commenting on demand revival, Jaitley mentioned that micro attention was being paid to stalled projects and a pickup in that area would be helping demand for industrial products.

A benign inflation situation could further allow softening of interest rates, he said.

Highlighting some of the challenges, the minister said that the ease of doing business will need constant monitoring and improvement and eventually for growth to gain traction, it was imperative that private sector investments picked up.

The event was organised by the Confederation of Indian Industry (CII) in partnership with US-India Business Council.

President Designate, CII, Naushad Forbes emphasised that India and the US are natural partners owing to common principles of democracy and federalism. He termed the country as a noisy and vibrant democracy that has an innovative private sector as its growth engine.

India today presents a strong long term growth story while aiming for inclusive and sustainable growth, he said.

Hailing India as the shining star within the developing economies President, USIBC, Mukesh Aghi stressed on the positivity surrounding the new Indian government’s economic policy that has underlying social developmental agenda.

Finance Secretary, Rajiv Mehrishi, while answering specific questions from US companies stressed that the government is working to create an organized way to deal with change not just in policy regime but administration as well.

Government efforts are “work in progress” though there is already significant progress on contentious issues like implementing a direct tax regime and GST regime, smoothening taxation disputes, easing land acquisition and labour regulations. All these incremental but important reforms will cumulatively help cultivate an environment for growth and development, he said.

The CII-USIBC roundtable kicked off the first major interface for the Finance Minister during his visit to California which will also include several interactions with long term investors, institutional investors as well as members of the Indian diaspora in the Silicon Valley. (KNN Bureau)