Department of Industrial Policy & PromotionDIPP Screenshot

The government is reportedly contemplating to form a National Investment Grid aimed at boosting private investment by presenting business avenues across the country.

The details regarding ongoing and upcoming projects, land available with the Centre, states, their agencies and public sector undertakings will be made available on the grid.

"Such a grid will place investment opportunities in terms of projects upfront and make it easier for investors to access and explore," The Economic Times quoted an official of the Department of Industrial Policy & Promotion (DIPP) as saying.

DIPP is discussing the creation of such a grid with states as part of the Invest India programme. The department is responsible for promoting government initiatives such as Make in India, Start Up India and improving ease of doing business.

"It will give a good signal to industry but it has to be supported by a land policy on the part of the state," said Soumya Kanti Ghosh, chief economic adviser, State Bank of India.

The headcount of Invest India team will be increased next month to 60 from 20 as per the plan. Invest India has been operating as a as a joint venture of DIPP, state governments and the Federation of Indian Chambers of Commerce & Industry ( Ficci).

The government needs to revive domestic investment to boost growth, even though the growth is primarily driven by increased public spending and consumption and foreign investments.

"FDI (foreign direct investment) growth is a good story but that alone cannot meet the needs of our country. Unless domestic investment picks up, there will be a huge gap in investment required to kickstart the economy," the official told the daily.

States will have an opportunity to present their "industrial and infrastructure development potential" through the grid.

The grid will strengthen the measures taken by states to improve ease of doing business, said another official.

"Companies recognise the steps taken to improve the business environment," the person said. "However, there are concerns about the lagging rural economy and fall in demand."

Also read
Quick Links