With a view to combat the adverse impact of the current global financial crisis, the industry has called for addressing the challenges in the ?real sectors? of the economy like the manufacturing sector, SME sector, exports, infrastructure and housing, apart from the country?s financial sector.
A study prepared by the Federation of Indian Chambers of Commerce and Industry entitled?Restoring the Growth Momentum and Bringing Back Investor Confidence?urged the government to make an additional Rs 100,000 crore investment per year on building infrastructure in the country.
As public-private partnership had yielded considerable results in roads, highways and ports sectors, the government should follow similar approach in all other infrastructure areas.
Viability Gap Funding Scheme should be utilised for implementing infrastructure projects under public-private partnership.
According to the study Indian real estate sector needs much attention as it is slated to grow to around $15 billion and is the second largest employer after agriculture with about 25 million construction workers and having forward and backward linkages to about 280 industries.
The captains of the industry are slated to meet the prime minister, Manmohan Singh on Monday to discuss the plan to save the economy from the onslaught of the current global financial crisis.
As global financial crisis and looming recession are likely to slow down country?s exports and the exports from employment-intensive sectors handicrafts, cotton yarn, carpets, manmade yarn, oil meal, marine products and tea have already declined, Ficci called for urgent policy measures to boost export performance.
It expressed concern over the gem and jewllery exports as the import-dependant sector suffered from the rising value of US dollar. Exports of engineering goods are likely to fall by 25%.