GDP growth can reach 6.5% in 2014-15 with Reforms: CII President

India can achieve GDP growth rate of well over 6% provided that systemic reforms are carried out quickly by the new Government, said Ajay S Shriram, the new President of the Confederation of Indian Industry (CII).

Unveiling the CII action theme for the year as ‘Accelerating Growth, Creating Employment’, Shriram noted, “With slowing growth and high inflation adversely impacting employment, CII will urge the next Government to focus on reviving growth and generating new jobs.”

In his press conference, Shriram added that CII has proposed a strong 100-day action agenda for the new government to boost growth. “A strong economic revival package and right implementation of policies by a fresh Government can help create as many as 150 million jobs in the next ten years,” he stressed. “Industry is looking for top policy steps such as introduction of GST, easing of interest rates by 100 bps, keeping subsidies at 1.7 per cent of GDP, and restructuring of labour laws to promote mass manufacturing.”

CII further stated that with continuing robust reforms, GDP growth could be taken back to the 8 per cent level in the next three years. “A market-friendly environment is required that would proactively promote investments, business and entrepreneurship,” said Shriram. Mass manufacturing sectors and labour-intensive services sectors need to be encouraged, he continued.

Key priorities for CII in the coming year will be in the following ten areas: education, skills, economic growth, manufacturing sector growth, investments, ease of doing business, export competitiveness, legal and regulatory architecture, labour law reforms and entrepreneurship.