Union Information Technology Minister Pramod Mahajanhas stressed that the debacle of the Dabhol power project would not have a majorimpact on foreign investments in India, but said it was a sensitive issue whichcould have "some impact".
Union Information Technology Minister Pramod Mahajanhas stressed that the debacle of the Dabhol power project would not have a majorimpact on foreign investments in India, but said it was a sensitive issue whichcould have "some impact".
Mahajan, who hails from Maharashtra, where the twobillion dollar project of US energy major Enron is situated, said, "The StateGovernment is dealing with it and if necessary, the Central Government wouldtake its own initiative".
The Minister urged the investors to take a look atIndia's track record over the last 50 years, during which it has never defaultedon any international agreement.
An isolated incident should not have any effect ontheir investment decisions in India, "which welcomes them", he said ata seminar organised by the Confederation of Indian Industry (CII) in New Yorkyesterday.
Mahajan invited investors to start ventures in the I-Tsector, saying India now provides the best possible environment for the purposeand has removed all constraints.
"India allows hundred per cent foreign directinvestment in I-T, repatriation in dollars and investors do not need to searchfor an Indian partner or waste time in obtaining licenses," Mahajan toldthe seminar attended by top leaders in the industry.
"They just need to inform Reserve Bank of Indiawithin 30 days of starting business," he said.
"India has the best I-T professionals in the worldwho know English and are available in adequate numbers", he said.
To a question, Mahajan said it was not importantwhether China or India was on the top in one sector or the other.
"What is important," he said, "is thatIndia does the right thing to meet the needs of its own people.
"It will compete where competition is necessarybut the basic test is whether it is doing the right thing for its one billionpeople", he told the audience.
In this context, he referred to a "cooperationagreement" signed with China in I-T, "as India is strong in softwareand China in hardware".
So it is a cooperative relationship", he said.
India, he pointed out, had an advantage in that itspeople knew English and hence it made a name in exporting its wares.
In China, on the other hand, people did not knowEnglish. But they had started looking inwards and begun tapping the hugedomestic market, he said.
PTI
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