ECONOMIC REFORM TRANSFORMED INDIA'S PRIVATE SECTOR: KAMAL NATH
ADDRESSES GLOBAL CHALLENGERS SESSION AT DAVOS
Date : 24 Jan 2008
Location : New Delhi
Shri Kamal Nath, Union Minister of Commerce and Industry, has stated that the economic reforms in India has been largely responsible for transforming India's private sector and the growth is being driven by many companies that were set up in the nineties. New sectors such as IT and communications, and modernised old sectors such as the automobiles and pharmaceuticals are the new torchbearers, he added while addressing the Global Challengers Session at Davos today.
The Minister observed that the increased openness has contributed significantly to the growing confidence of Indian firms and the scrapping of controls on expansion has allowed many Indian firms to aspire for global economies of scale for the first time. Among others, the meeting was also attended by Mr. Rahul Bajaj and leading Global CEO’s. During the course of interaction with the participants, Shri Kamal Nath stressed that Indian globalisation is synonymous with Indian entrepreneurship and the domestic entrepreneurship is the engine that is driving India's growth. Indian companies are seizing the opportunities presented by new technologies and a more open economy.
"Today, thanks to its innovative and entrepreneurial culture India is emerging as a hub for new software platforms, new technology development, engineering design and hi-end outsourcing", he added. The Minister further referred to the process of globalisation in India that has also resulted in important shifts in the mindsets and added that in the past, because of the restrictive economic environment, the top management in India tended to be in their comfort zones and steeped in their own cultures. "Indian leadership, both in corporate India and also in the government, is now thinking in much more ambitious terms. Corporates have the cash flows or they can generate the cash flows to think in these terms and they are willing to take the risk of global expansions. This has given us in the government the confidence that they can take on the world. Accordingly, we are creating conditions for them by creating an investment, regulatory and trade environment that is on par with the best in the world ", the Minister said.
Mr. Rahul Bajaj summed it up by stating that, "A global mindset is about thinking of the whole world as your arena, being comfortable in interacting with people from multiple cultures, looking at the various markets while strategizing, leveraging talent from all cultures, making sure that all cultures are comfortable in your milieu".