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Industry heaves a sigh of relief over snap poll

The trade and industry today heaved a sigh of relief foreseeing an end to the present political impasse even as stock indices across the country crashed for the fourth time during the last fortnight.

The industry felt that fresh elections would impose an insurmountable burden on ''an already financially strained country like India''. Business chambers stated that a resultant stable government with a clear mandate would, however, help the nation insulate itself from political convulsions which create discomfiture to the trade and industry.

The Confederation of Indian Industry president Rajesh V Shah said the Cabinet's recommendation today would set at rest the uncertainty into which the country had been plunged over the last several days.

''Any delay in completing the elections would only damage the process of economic recovery,'' he added.

The Federation of Indian Chambers of Commerce and Industry president Sudhir Jalan also aired similar views saying, ''Experiences dictate that a stable government with a clear mandate is imperative to give a direction to the growth process and for signalling investment both from India and abroad.''

The Associated Chambers of Commerce and Industry of India or Assocham president K P Singh said fresh general elections would be a costly affair. ''Yet, having a continued political stalemate will prove to be more expensive to the nation.''

Singh, however, lamented that general elections have been imposed on the nation within 13 months as against the full term of 60 months. ''The economy is on a downswing, foreign investors are shying away, so far otherwise strong economic fundamental are weakening, the exports are falling, yet, the nation is being forced to shoulder the crushing burden of elections.''

The business community, he said, would throw its entire weight behind the new government that assumes power at the Centre as strong policy decisions are needed to take nation forward.

Ashok Khanna, president of the Punjab, Haryana and Delhi Chamber of Commerce and Industry said already the ongoing political uncertainty has cost the nation very dearly in terms of fresh investments and slowdown in the economy.

''The political stalemate has come at a time when various economic legislations so crucial for the economy were pending before Parliament for kickstarting the economy. Fears are expressed in certain quarters that the reform process will get stalled at least for another six months.''

He hoped the elections will provide clear mandate for effective governance to accelerate the pace of the second phase of economic reforms and liberalisation. He appealed to leaders of political parties to ensure that political events must not be allowed to hurt the Indian economy.

UNI

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