Interview with GP Hinduja continues...

Interview with G P Hinduja continues.....

Q. Does the Indian Government need to change its policies or attitude to woo NRIs? Because it seems that the Indian Government believes that if its policies are good enough to woo transnationals, they should be good enough for NRIs. Are the NRIs looking for something different compared to the transnationals?

A. All that the government must do is to treat NRIs like other Indians. NRIs have always stood by their country, both in good and bad times. Transnationals operate on a purely commercial basis and are mainly interested in repatriation of funds and consolidation of their balance sheets. They do not share our sentimental ties with India, nor do they have the knowledge of its culture that we have. This should be considered while the government makes its policies. It has been the NRIs who have brought in some of the largest international brands in India. Besides, it is they who have provided comfort levels to transnationals.

I do not agree that the policies of the Indian Government to woo transnationals have been good. If they have, then why are actual investments by transnationals so low compared to the approvals that have been accorded?

Q. Could you elaborate on the group's proposed and actual investments in India, if any--the details of the project, the joint venture Indian partners, and the investment size? Could you also give details of the group's global expanse in terms of revenue, profits, business areas, and company names?

A. To make any investment plan for India has no meaning in the context of the points I made earlier. Six years ago, we announced plans for investing $6 billion. But, because of the problems I underlined earlier, only a small portion of this has been invested in the automotive, lubricant, telecom, media, and technology sectors. The government must prepare a blueprint and clearly indicate where foreign investment is required. It must provide a time frame within which approvals will be granted, and if the time frame is not met then it should hold those responsible fully accountable. We have said many times in the past that more important than a Foreign Investment Promotion Board is a Foreign Investment Implementation Board. This is necessary because even after getting clearances, implementation does not take place. Unless the government imposes accountability and is serious about implementation, investment plans will not materialise into actual funds.

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