- Recommendations of The Bangalore Chamber of Industry and Commerce (BCIC) to the state govt to improve its social and economic indicators and make it more industry-friendly:
- Restart in phases the process of partial privatisation of public enterprises – this will unlock funds rooted in these assets and signal growth.
- Increase professionalism to generate investor interest.
- Revive State Planning Commission to plan and direct economic progress.
- Focus on inclusive growth of all cities by eliminating stumbling blocks created by over-focus on Bangalore, limping manufacturing sector, poor infrastructure, and lack of focus on skill and job development.
- Take advantage of the amendment to the Article 371 (J) of the Constitution, which grants special status to six of its districts and increase investments by creating incentives for industries.
- Develop smaller cities, possible even a new capital.
- Fully tap the potential of defence and aerospace industries, which are the strongholds of the State.
- Create country’s first 3D manufacturing hub.
- Harvest renewable energy to reduce burden on conventional sources of power supply.
- Other findings:
- Growth of Karnataka’s Gross State Domestic Product (GSDP) at 6% is slower than the national average at 7%, and has resulted in loss of growth momentum, low rate of poverty decline.
- Manufacturing sector accounts for 13% of GSDP, and over-dependence on software sector has been observed. Its share had to increase to 15 %and push the State’s growth to 12%.
- Of the 80 State public sector undertakings (SPSUs), the state has in total invested about Rs. 80,000 crore over the years, and of this the successful ones make a profit of above Rs. 1000 crore per year.:
- Read at : http://www.thehindu.com/todays-paper/tp-national/tp-karnataka/partially-privatise-state-psus-bcic/article5980830.ece
Exams Perspective:
- Article 371 (J)
- Public Sector Undertakings(PSU)
- Inclusive Growth
- Drawbacks of State Planning Boards
- GDP