DFIs to give key fillip to infra sector

Visakhapatnam: Maple Software Pvt. Ltd CEO Gunturu Shiv Kumar said the proposal to set up development finance institutions (DFIs) would play a pivotal role in channelising investments in infrastructure and other key sectors of the economy.

Reacting to budget proposals, he told Bizz Buzz that in the post-pandemic world, for India to move towards a stable and sustainable upward facing growth trajectory, it would be critical for investment in development of Infrastructure.

He said banks and financial institutions' risk-appetite had fallen drastically and they were wary of lending to infra and other long-gestation projects. Hence, the setting-up of DFIs would give the much-needed fillip to the financing gap faced by the infra sector.

He said the voluntary vehicle scrapping policy would generate demand for the steel sector. "We welcome the budget announcement of establishing seven mega textiles parks to attract investment and create demand and employment generation in the textile sector," he stated.

He said Centrally sponsored scheme PM Atmanirbhar Swasthya Yojana to be launched with an outlay of `64,184 crore over six years was a bold step. He welcomed the pneumococcal vaccine that is currently restricted to five States and will be rolled out across the country that can avert 50,000 child deaths annually.

Shiv Kumar, former AP chairman of CII, said establishment of mega textile parks would help boost technological upgrade and enhance export competitiveness of Indian textile sector and hoped that one such park would be set up in Visakhapatnam. Brandix India Apparel City is located at Atchutapuram, about 50 km from here in an area of 1,000 acres.

He said the morale of the investors hit by the pandemic would get a boost with the decision to extend product linked incentive (PLI) schemes to 13 sectors with an outlay of `1.79 lakh crore to achieve sustainable double digit growth of manufacturing sector.