Japan to follow- “Look India Policy”

Mr. Modi wants to take full advantage of such a friend. As India follows the “Look East Policy” Modi wants Japan to follow “Look India Policy”. So to ensure this he has promised Japan that your investors will be welcomed by Red Carpet and not by Red Tape. They will be given all sorts of help they require to make their investment stay in India the most comfortable.

Japan which is one of the largest economies of the world has always been reluctant, to invest in India. Large amount of investment opportunities and a good friendship bond for many years has not excited it to invest in India. Rather the surprising observation is that Japan who considers China as Rival and does not leave any stone unturn to keep the balance of power in South Asia against China, has invested more in China than India.

Modi got the nerve and promised Japanese investors that their investments are welcomed in India. He even promised that their files will be fast tracked by a separate department in PMO.

Japan visit and the rising confidence of Japanese investors in India were very well reflected in the stock market boom. It is believed that Modi’s visit to US, China in this year will again revive the investment climate in India and bring India back on the track.

If Japans investments in India are increased then it will help our manufacturing sector to come out of slumber and grow. This will have ripple effect on our economy. Manufacturing will in turn improve the employment conditions which in turn giving a boost to the income of people.  Rising income and reducing inflation will lead to higher savings which will again increase investment in India.

Such investments will lead to establishment of various industries. This will make sure that small parts are available in India itself and thus reducing the imports. In long run it will also diverse our exports basket. This will reduce our Current account deficit and help the country to grow further.

Thus this visit to Japan has surely improved the conditions in India and many more are in the line of improvement.

The Domino effect has started.