India Inc disillusioned by Modi govt's slow pace of reforms

Aggressive Hindutva elements have also disappointed industry captains

As the Modi govt completes a year next month, former Tata group chairman, Ratan Tata, says the govt needs time and support to deliver on its promises. Most others, however, seem to be losing patience due to the slow pace of reforms, aggressive Hindutva elements, etc. Business Standard looks at what India Inc thinks of the govt’s term so far:

Ratan Tata, former chairman, Tata group, on April 17

All of us should understand that it’s a new government and we need not get disillusioned and dissatisfied with it so fast. We should give support and an opportunity to Prime Minister Narendra Modi for delivering on his promises. We really need to support it if we need to have a new country and outlook, both internationally as well as domestically.

A M Naik, executive chairman, L&T, on March 5

The steps are not adequate. Implementation (of policies) will be our biggest challenge. For the past 10 years, we have talked about $1 trillion for infrastructure through five years. We need $20-25-trillion infrastructure to come, in line with China. The government has articulated its macro policies and vision for the next five years; it’s time for implementation on the ground. For that, you need a very sound monitoring system.

Adi Godrej, chairman, Godrej group, on April 18

The government needs to control extreme ‘Hindutva’ elements, as continuation of such cases could dampen investor sentiment and create disturbances. A lot of steps have already been taken in terms of reforms and in terms of objectives and I expect economic growth will pick up very soon.

Harsh Mariwala,  chairman, Marico, on April 9

Sheen is falling off the Modi govt in the context of promises, and gradual delivery. Need to move fast; hope interest rates are reduced today. Heard from a leading politician that if elections were held today, the NDA would barely win 200 seats, despite weak opposition.

Deepak Parekh, chairman, HDFC, on February 19

There is a little bit of impatience creeping in as to why no changes are happening and why this is taking so long to have an effect on the ground. The optimism is there, but it is not translating into revenues. Consider any industry: when there is a lot of optimism, the growth should be faster.

Aditya Puri, MD, HDFC Bank, on February 20

We have to look where we were, where we are and where we want to be. There was a time when inflation was high, we had a current account problem, fiscal deficit was an issue, and there were questions over political stability. We have a stable govt that is clear about what it intends to do on land acquisition, etc...nobody can find fault with the PM’s execution skills.