Prime Minister Narendra Modi Addresses India Inc. At FICCI’s 93rd Annual General Meeting

Prime Minister Narendra Modi is addressing the Federation of Indian Chambers of Commerce & Industry's annual general meeting and yearly convention today.

Modi's address comes as India is trying to pull itself out of a recession after the Covid-19 pandemic left businesses battered. Although high-frequency economic indicators have started pointing towards a recovery, economists say that a lot of it is due to pent-up demand and a festive boost and underlying consumption remains subdued.

The government on its part has unveiled a series of measures since March to help the industry cushion some of the impact from the pandemic and to improve the demand scenario. Finance Minister Nirmala Sitharaman told Bloomberg TV on Dec. 9 that the government will continue to offer stimulus to boost demand.

FICCI has asserted that the administration should use the crisis to push through bold reforms and improve growth.

Still, the listed universe of Indian corporates seem to have wriggled their way through the crisis by cutting costs and streamlining operations. Of the 500 BSE constituents, 462 companies that reported results till Dec. 2 saw their aggregate sales revenue rise 29% over the preceding three months.

Moody’s Investors Services has also said that the conditions for India Inc. will improve from hereon due to a broad-based demand revival across sectors. Financially strong companies, with good access to funding, will continue to recover strongly, it said last week.

Key Highlights From Modi's Address At FICCI’s AGM:

• India’s economic indicators now look encouraging

• Lessons from the pandemic will stand India in good stead in the future

• Credit for the recovery goes to entrepreneurs, youth, farmers, industrialists and citizens

• The era of ‘Inspector Raj’ & tax terrorism is over

• Those who are confident don’t hesitate to give others opportunities, while those who are insecure will curtail others

• Previous administrations believed that the government will do everything; India suffered because of that mindset

Farm Sector Reforms

• India's farmers will be the biggest beneficiaries of the recent agri-sector reforms

• Reforms will break down the artificial barriers between agriculture and allied sectors like food processing, storage, and cold chain infrastructure

• These reforms will give farmers access to new markets and technologies, and bring new investments into the sector