Staying true to the "man of action" tag given by US President Barack Obama, Prime Minister Narendra Modi has shown his government is committed to expeditious implementation of investment proposals.
The Economic Times, quoting from a CMIE-CII report, says about 38% of the 970-odd investment projects – valued at over Rs 10 lakh crore – announced after the Modi government came to power in May 2014, are already being implemented.
Projects worth Rs 4.5 lakh crore got into execution mode in 2014-15, according to the report prepared by the Centre for Monitoring Indian Economy (CMIE) for the Confederation of Indian Industry (CII). The report was released last week.
Further, the first quarter of the current fiscal saw investment plans worth Rs 2 lakh crore being implemented, according to the report.
"Our analysis clearly indicates that there has been a new momentum in both investment and economic activity in the last 15 months. We are confident that this will steadily increase as the invest ment climate is picking up," CII director general Chandrajit Banerjee said.
"Fresh project announcements in India have also increased since the new government came into power... The implementation rate has also improved," the CMIE said.
As a result, machinery firms posted an increase in their revenues for the first time in three years in the April-June quarter this year, indicating a recovery in capital expenditure, it added.
While Tata and Adani groups announced 15 new investment projects each since May last year, budget airline IndiGo's proposal to acquire 250 A-320 planes from Airbus is the biggest investment plan witnessed under the Modi government.
Overall, the investment plans announced in the first 13 months of the Modi government have exceeded Rs 10 lakh crore, which is twice the investment proposals seen in the last two years of Manmohan Singh-led UPA government.
In what could be termed as a big achievement for Modi's "Make in India" initiative, the government had on Monday revealed that it has received investment proposals worth Rs 90,000 crore in the past two months in the electronics sector.