- At the 14th Pravasi Bharati Divas, the CM of the state Siddaramaiah tried to lure NRI investors.
- Xenophobia is suffocating the potential of the city.
- Infrastructure needs to be at par with growing demands of different industries.
Recently, Bengaluru hosted the 14th Pravasi Bharati Divas which was attended by many dignitaries including chief ministers of multiple states of India who highlighted the state's specialities and also announced new policies to encourage the NRIs to invest.
Karnataka CM Siddaramaiah also announced that the state government has formulated industrial policies as well as policies for NRIs to facilitate the investors to use water, land, electricity and other basic infrastructure, and also that it has a simplified approval process to invest and establish industries, etc.
The CM also took pride of the fact that Karnataka is the first state to announce its NRI policy and that there are many institutions to provide the skilled workforce.
However, there are good reasons why Bengaluru may not be the investors' destination for the NRIs and here are 5 of them:
1. City traffic:
The traffic condition of the city does not need to be explained anymore. In fact, the city has become infamous for its traffic condition. Travelling within the city has become more and more time consuming every passing day.
Due to this, multiple meetings, reaching from one to another place without wasting time on roads and keeping up with the growing demands of the competitive business world has become near impossible in the city.
Before inviting investors, it is important to improve Bengaluru's traffic situation.
The rising level of pollution in the city and failure of the state government to take prompt action is a matter of concern for the residents of the city as well as the potential investors.
Toxic froth in multiple lakes around the city and the hazardous living condition for people residing nearby can not be ignored anymore. The Bellandur Lake fire in 2015 caught much attention, but no strict measures have been taken to address the issue of pollution in the city.
New policies for NRIs are not enough if the living condition of the city is hazardous.
3. Delay in city development projects:
From flyovers to Namma metro all projects are running delayed and missing deadlines after deadlines. So, it is difficult to predict when the city will be ready to accommodate bigger and better things.
The delayed projects also cast a shadow on the capability of the development authorities and state government to facilitate newer projects making it a risky city for investors to estimate returns.
4. Lack of infrastructure:
The city still lacks infrastructural support, and that is a problem that needs to be sorted soon. The infrastructure of the city is not at par with the growing demands of the economy and newer sectors making it a difficult choice for NRIs to invest here.
The city with a diverse crowd and enormous potential still suffer from xenophobia. Last years, the Cauvery issue put the city on hold, and the recurring issue of reservation for locals create uncertainty about the future of the city.
Investment is a long-term financial move, and with so many uncertainties it will be difficult for the state government to convince NRIs to invest here.
Last Updated 31, Mar 2018, 6:36 PM