India At The Threshold Of Becoming The World’s Most Digitised Economy: Modi At Vibrant Gujarat

Inaugurating the eighth edition of the Vibrant Gujarat summit, Prime Minister Narendra Modi on Tuesday spoke at length about the 2.5 years of his government while offering a snapshot of the reforms undertaken in that time.

“India’s strength lies in three Ds: demography, democracy and demand. Our biggest strength is the depth of democracy. Some say that democracy cannot deliver effective and fast-track governance. We have seen in the last 2.5 years, it is possible to deliver quick results in democracy as well,” Modi said adding that India offers a vast market as well as demographic advantage to companies of all shapes and sizes.

His comments came at the first day of the state’s biennial business event which is witnessing participation from 12 countries amid thousands of business leaders and political leaders gathered from all around the world to pledge investments in the state.

Here are the highlights from Modi’s speech:

In the welcome address preceeding Modi’s speech, Gujarat Chief Minister Vijay Rupani said the state enjoys a special place in the Indian economy and dedicated its progress to Prime Minister Modi, and the former chief minister of Gujarat. Diplomats and delegates from more than 100 countries are participating in the Summit, Rupani told the crowd at the Mahatma Mandir Convention Center in Gandhinagar.

He lauded the demonetisation effort launched by the Centre in November last year which led to the withdrawal of old Rs 500 and Rs 1,000 notes.

First among the day’s corporate speakers, Ratan Tata, interim chairman of the Tata Group heaped praise on Modi for the all-round development of the state and said it would be “stupid to not be here [Gujarat]”.

“We had the fortune and good luck of moving our car factory to Gujarat,” Tata said referring to the Tata’s Nano plant. After a controversial stay in West Bengal, Tata Motors shifted its Nano car project to Sanand, Gujarat in 2008.

Ratan Tata was followed by chairman and managing director of Reliance Industries Ltd.’s Mukesh Ambani who promised that the telecom arm of the group, Reliance Jio Infocomm Ltd. will connect all hospitals, medical facilities, colleges and schools in Gujarat.

“I take this opportunity to reaffirm our fullest support to realise your vision [Modi’s],” Ambani said. “Gujarat has also attracted the highest foreign direct investment among all states in the country. As Ratan said, we are proud that Reliance is also a Gujarati company. My father started Reliance’s journey in Gujarat. For me, this is a sacred land.”

While all commitments made in the past have not translated to realised investments, with a Bloomberg report showing that of the Rs 40 lakh crore investment that has been pledged between 2003 and 2011, only 8 percent have actually materialised so far, Ambani claims that his company has actually invested Rs 10,000 crore more than the committed amount.

While addressing the audience at the inaugural event, Gautam Adani, chairman of Adani Group said that India is now well positioned for “several decades of strong growth”.

Adani Ports will invest Rs 16,700 crore to extend all port locations in the state, Adani said, adding that the key investments will span two new container terminals to increase the company’s capacity in Gujarat. The group will also invest in businesses like cement and clinker at Mundra business district, he added. He announced that the group will invest Rs 49,000 crore in the state over the next 5 years.

This year, the total investment pledged by companies is expected to touch more than Rs 25 lakh crore, according to wire agency PTI.