On the occasion of Indian Finance Minister P.Chidambaram’s visit to the United States, entrepreneur and analyst Shyam Kamadolli writes about five urgent concerns that India must address in order to attract direct foreign investment. According to Kamadolli, such investment in India dropped by $5 billion last year. His top five concerns: the stability of the Rupee, the predictability and transparency of taxation schemes, changes to regulatory regimes, limits on investments and onerous approval processes, and restrictions on overseas listings.
Especially when capital flows have many options, it behooves India to highlight reforms that allow investors to focus on generating returns instead of fighting the system. India sorely needs F.D.I. to return to 8 percent-plus growth.