“These dismal figures showcase that owing to prevalence of global recessionary trends and slowdown of Indian economy investments across states have been kept on hold which is worrisome for a country that desperately needs investments,” said D.S. Rawat, Assocham's national secretary general in statement.
“The prevailing unstable external and internal economic conditions, high inflation, credit availability and its cost along with a host of local problems like delays owing to land acquisition have been affecting the investment scenario in India,” said D.S. Rawat. “Only states that try to address genuine concerns of investors to possible extent see higher implementation rates.”
Inadequate addressal of project induced displacement, failure of implementation of Resettlement and Rehabilitation (R&R) policies, environmental clearances, bureaucratic delays, lack of clear cut policies and others have been contributing to lower implementation rates of investment projects in India.
With over 82 per cent of investment projects under implementation, Haryana has recorded highest rate of implementation of investments amid industrialized states throughout India.
Jammu and Kashmir (81.4 per cent), Punjab (79 per cent), Assam (72 per cent) and Chhattisgarh (69 per cent) are amid top five states that are currently witnessing a high rate of implementation of investments.
Gujarat has recorded lowest implementation rate as over half of the total investment projects remain non-starter and just about 46 per cent of projects are under the implementation stage.