Processing .....please wait.. 
The article has been forwarded.... 
News >> Technology >>
U.S. Inc says red tape cause of low investment
By agencies
|
Friday, 03 March 2006, 20:30 IST
NEW DELHI: American CEOs today identified poor infrastructure and bureaucratic delays as major deterrents to U.S. investments in India, while making a strong pitch for further liberalization in the financial and retail sector.
Unveiling the U.S. India CEO forum report with his Indian counterpart, Ratan Tata, JP Morgan Chase & Co chairman and forum co-chair William Harrison cited absence of adequate infrastructure and the bureaucracy as the reasons for lack of excitement in American companies about investing in India.
"I think there is lack of excitement about investing here because of factors like poor energy supply, roads, airports, ports, the core infrastructure, bureaucracy. Its hard to get approvals, permits and in the legal system, the process is slow and cumbersome and it takes a long time for settlement of disputes," he said.
The business forum that comprises selected CEOs from both the countries has identified six priority initiatives for cooperation to be taken up by both the governments, as well as the private sector, to boost investments.
These include setting up of a $5 billion infrastructure development fund to make Mumbai a financial hub and facilitate setting up of large-scale SEZs.