U.S. Investors Welcome Modi Govt's Maiden Budget

WASHINGTON: The maiden Budget of the Modi Government has been hailed by American experts and corporate sector here as a step in the right direction to generate employment and foster growth.

They said Union Finance Minister Arun Jaitley has opened the door to a much wider level of U.S. involvement in India’s development plans in the coming years.

“Balanced, measured, and thoughtful: a terrific first budget for the Modi government.

“American investors are now revitalized by the positive changes taking shape in India,” said long-time India watcher Ron Somers of the recently formed India First Group.

Hailing the decision to increase the FDI caps in both insurance and defence sectors from 26 percent to 49 percent, Somers said though the opening of the latter will eventually be needed to truly facilitate greater transfer of technology – but this sends a very positive signal, especially combined with India’s announcement to increase Defence spending.

“Now, if only we can genuinely deepen Indo-U.S. collaboration in the Defence Sector, with India looking to the United States for new artillery and helicopters, transport aircraft, guided missile technology, and specialty radar to beef-up India’s homeland security capability – from companies like BAE Systems, Boeing, UTC, Raytheon, and Lockheed, all working closely to establish domestic manufacturing capacity with India’s vital private sector and capable DPSUs,” Somers said.

READ MORE: Union Budget 2014-15: The Pros and Cons and E-Visas Facility at Nine Airports Soon