ASSOCHAM suggests measures to boost corporate investments

New Delhi, Aug 3 (IANS) The Associated Chambers of Commerce and Industry (ASSOCHAM) has said tax concessions to companies, better regulation of imports and liberal exit policies are some of the measures the government should take to enhance corporate investments.

An ASSOCHAM BIZCON study released Tuesday said a simpler land acquisition and improvement in infrastructure would help boost investment.

It said corporate investment plans are majorly affected by factors such as environment clearances, lack of infrastructure and land acquisitions.

The study on the constraints on corporate investments saw the participation from over 266 companies.

While 67 per cent of those interviewed said environment clearances, infrastructure shortfall and land acquisition problems remain the top three constraints due to which uncertainties prevail in realising their investments.

Seventy per cent of the business leaders said environment clearances take a lot of time as the expansion or the modernisation projects have to be passed through over 36 channels at state and central levels before being finalised.

The study also cited lack of skilled labour, beauraucratic approvals and cost of credit and labour cost among other constraints on corporate investments.

BIZCON is a quarterly national survey by ASSOCHAM.

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