Coimbatore: The Union Finance Minister, Mr P. Chidambaram, reiterated the need for looking at investing over a long term.
“The industry must invest in a long-term horizon,” he said at the launch of the 80th anniversary celebrations of the Indian Chamber of Commerce and Industry, Coimbatore.
Addressing members after unveiling the portrait of Mr R.K. Shanmugham Chetty, the first President of ICCIC and former Union Finance Minister, he said: “Trade and commerce drives the economy. While agriculture is important, investments in industrial sector should not stop, as the manufacturing and trade/service sectors propel growth.”
Agriculture growth is just not enough to eliminate poverty, he said.
Economy revival
Expressing confidence about the economy bouncing back, he admitted to a slight curve in the industrial growth because of trade stagnation and decline in capital flows. “Japan is in a state of recession, England and Germany are tiding over difficult times. Such turmoil is common in developing economies,” he said, and called upon the industrialists to look at long-term investment.
Comparing the industrial growth and investments across regions, he said, “All southern States barring Kerala did well, so did northern and western states. Investors are apprehensive of investing in the eastern and central regions of the country and in some pockets they were even contemplating withdrawing because of hostility. This should not happen in Tamil Nadu.”
Earlier, inaugurating the 1937th branch of the Indian Overseas Bank at Madampatti near here, Mr Chidambaram said the UPA Government had in the last four years extended educational loans to over 12 lakh students amounting to over Rs 20,000 crore. He emphasised the importance of investing in human resources.
Later, on the sidelines of another function marked to inaugurate the regional passport office here, Mr Chidambaram, in reply to a question on inflation, said: “I repeat, be patient. That has been my advice all along. Steps have been taken. It would come to moderate levels.”
