Participating CEOs indicated that there are a plethora of challenges facing the incoming government. The growth has decelerated quite notably and the situation of the manufacturing sector continues to remain worrisome.
A significant majority of the participants felt that issues related to factors of production- land, labor, capital and power are amongst the most critical challenges that the new government will have to deal with. Inflation and need for tax reforms were also cited as other immediate concern areas. In fact, in its recently released agenda FICCI highlights these as the priority tasks that should be taken up by the incoming government.
Market for various factors of production has not seen much liberalisation. Be it land, labor or the capital market, we have a long way to go to ensure optimal utilization of these resources.