Investors Skeptical About India

New Delhi, October 17: | Updated: Oct 18 2002, 05:30am hrs
Investors from the Association of South East Asian Nations (Asean) are still skeptical about making investments in India.

This sentiment was expressed by a number of delegates at a session during the India-Asean Business Summit organised by the Federation of Indian Chambers of Commerce and Industry (Ficci) and the ministries of external affairs and commerce and industry.

There is a feeling that a focus on small and medium enterprises (SMEs) is missing in India and the government needs to open up its skies and increase the number of flights from foreign airlines and improve the visa services.

Former secretary-general of Asean Ajit Singh said, Very little is known about the Indian success story in Asean and there is an element of doubt amongst the Asean investors while investing in the Indian industries.

Replying on the issue of negative perception raised during the discussions, secretary, department of industrial policy and promotion, V Govindar-ajan said, perception problem in India is the result of some unfortunate individual experiences, which can be resolved only by sustained work on both the sides.

On the contrary, Malaysias largest media house Utusan Melayus executive chairman Kamarul Ariffin said, India has changed and this is where Asean and India have a bright future together.

Mr Singh said India was mainly interacting with Malaysia and Indonesia amongst the Asean nations, but emphasised on the need to expand horizons and start a two-way interaction between other countries like China and Japan.