Tata Sons chairperson N Chandrasekaran on Thursday said obstacles to businesses must be removed to improve the country’s growth trajectory. He said India is fraught with micromanagement and suspicion, PTI reported.
“We need to reimagine our economic and business culture,” Chandrasekaran said at the Nani Palkhivala Memorial Lecture in Mumbai. “Culture is most critical. Growth must not come from pushing hard. There is no point to tell people ‘drive fast, drive fast, drive fast’. It [growth] will come by removing obstacles.”
“We need supervision, we don’t need suspicion,” the head of the $110-billion conglomerate added. “And we have suspicion. All our rules start from suspicion.”
He called for a “transformative vision” to move away from “a controlled vision of micromanagement”.
Chandrasekaran said people who work hard and honestly are put through enormous difficulties in the system, leading to massive risk aversion. “Achieving growth inherently involves risk taking and we need to applaud the risk takers,” he added.
He also raised the matter of unemployment in the country, and said we need to ensure jobs for the society at large. The chairperson of Tata Sons warned that 90 million people will be in the working age in the new decade.
About the Narendra Modi-led government’s $5-trillion economy goal by 2025, he said none of the milestones can be achieved without ensuring an educated, skilled and vibrant workforce.
Chandrasekaran’s comment came at a time when the Indian economy is growing through a slowdown. The economy grew at just 4.5% for the July-September 2019 quarter, the lowest pace in six years. The economy has been hit by weak consumption and thousands of job cuts. Last week, the government predicted the Gross Domestic Product growth rate for 2019-’20 as 5%, which would be the lowest in 11 years.
Construction, real estate, infrastructure, power, banking and tourism are the areas which need attention of the policy makers, he said.