Jayalalitha promises investors project approvals in 30 days in Tamil Nadu

Reuters: Chief of India’s southern Tamil Nadu state, Jayaram Jayalalithaa, on Wednesday assured investors approval for their projects within 30 days in a bid to increase investment in the province.

Jayalalithaa was addressing the Global Investors Meet in state capital Chennai. Nine countries, including France and Italy, with 1,000 international and 4,000 Indian delegates are participating in the two-day meet that ends Thursday.

“A ready-to-occupy land bank of 42,000 acres is available for industry. I had also recently ordered that for investment commitments made in the state, all necessary final clearances shall be accorded within 30 days,” she said.

Jayalalithaa added that infrastructure investment of $ 250 billion as per the Tamil Nadu Vision 2023 plan, spanning 84 projects, had already begun.

The chief minister also added that Tamil Nadu received the third-largest Foreign Direct Investment (FDI) in the country after western Maharashtra and the National Capital Region. She also said it was her government’s goal to ensure that the state’s per capita income reaches those middle income countries.

Jayalalithaa said that the meet had exceeded the investment target on the first day. “The Global Investors Meet has targeted investment commitments of one trillion rupees ($ 15.038 billion) which has already been exceeded. I am very confident that further commitments would be made over these two days and I would be able to make an announcement on the resounding success of the meet,” she said.

Jayalalithaa also urged potential investors to put their faith in the state, ensuring that investment in the state would be ‘sound’.

As per reports, Indian IT giant HCL will invest $ 1 billion in the next five years; automobile company Mahindra & Mahindra also announced an investment of $ 301 which may increase by 2022.

India has simplified rules for foreign investment in companies by clubbing together different categories in July this year. Finance Minister Arun Jaitley, said foreign direct investment, foreign portfolio investment and investments by non-resident Indians would be “clubbed together under a composite cap”. Previously, foreign capital had been subject to varying restrictions - a legacy of India’s socialist past and its lingering reluctance to allow capital to move freely across its borders.

India has also allowed 100% investment in pharmaceuticals and railway infrastructure under a so-called automatic route that does not require official approvals.