Those who believe that India’s development was not possible like it was before, often seem dismayed at the country’s vast regulatory and compliance system. Sometimes they get angry and angry too. This is because this system creates hindrances and hindrances in the story of India’s rapid growth. It is believed that many unscrupulous, thugs and outright fraudsters create lot of hurdles and our vast network makes business in India like a nightmare.
The recently released ‘Jailed for Doing Business’ report by the Observer Research Foundation (ORF) lists an astonishing 69,233 unique approvals and formalities. The report, prepared by Gautam Chikarmane, Vice President, Observer Research Foundation, and Rishi Agarwal, Co-Founder and CEO of Avantis RegTech, suggests that 26,134 can be punished with imprisonment of either description for a year if approvals or formalities are not complied with. Among the states with the highest emphasis on compliance, the five states with the highest number of imprisonment provisions are Gujarat (1,469), Punjab (1,273), Maharashtra (1,210), Karnataka (1,175) and Tamil Nadu (1,043). But it is disappointing that despite the strict compliance system, which has many rules and stringent sections, but the real criminals seem to be repeatedly escaping from the long arms of the law.
Indian Prime Minister August 2, 2021
Prime Minister Narendra Modi is fully aware of these impediments to India’s development. He used the 15th Civil Services Day event held on 21st April to not only reward bureaucrats who have done excellent work in public administration, but also sent the message from door to door that our bureaucracy because of its complex administrative set-up is one of India’s most important bureaucrats. presenting a major challenge in development. Recalling his early experiences after the Bharatiya Janata Party announced his name as the prime ministerial candidate in the year 2013, Narendra Modi said, when my party first nominated me as the prime ministerial candidate in 2013. When the announcement was made, I was called by the business community in Delhi. I gave a speech among them. Then there was a delay of four to six months in the 2014 general elections. When he asked me what I would do after becoming the Prime Minister, I said, I will abolish one law every day, I will not make any new law. They were shocked to hear this. And, in my first five years, I ended 1,500 laws.
Without any hesitation, the Prime Minister said, you know that there have been hundreds of such laws in our country, which I consider a burden for the citizens of India. You tell me, why should we carry such laws? Even today my opinion is that why do not we take some initiative against many such laws, which have become useless? Why don’t you finish them? The country has to be pulled out of this unnecessary trap.
Despite Cabinet Secretary Rajiv Gauba’s presence on the dais, Prime Minister Modi continued to speak on this system of endless demands from Indian citizens to abide by the rules. Similarly, we keep demanding all kinds of rules compliance from the citizens, he said. I told the Cabinet Secretary that as long as we are trying to do things for the rest of the world (through outsourcing our software and technology), you should take responsibility that the country will be free from complying with these rules; We must liberate the citizens. Why are you trapping citizens in this trap in this 75th year of independence? And, in an office there will be six people sitting to work, each table person will have full knowledge of the work, yet they will ask separately, they will not do anything from the side of the table.
Here I return again to the ‘Jailed for Doing Business’ report. Its content has been rigorously pooled by Team Lease and Reg Tech over the past seven years. Its monograph divides the report’s results into seven broad categories, such as labor, finance and taxation, environment, health and security, commercial, industry-focused and general sector. The regulator creates hurdles in the way of not only making additional profits but also non-profit institutions. This is the reason that not only is it difficult to start a business or start a new institution in India, but it becomes even more difficult to close it. As TeamLease President Manish Sabharwal also puts it, excessive criminalization of employer compliance in India breeds corruption, stifles formal employment and poisons justice.
The report is replete with a range of recommendations, including rationalizing business rules and regulations, regulating criminal penalties, and comprehensive policy reforms. Restructuring the country’s compliance system or systems that serve the common man will not only improve the general business environment in India, but will also enhance the dignity of various money-makers, innovation believers, entrepreneurs and big industrialists. Will be safe
This call of the Prime Minister to the civil servants is giving a better chance to initiate a comprehensive reform process for the various states of the country, their various ministries and departments and the entire country along with the central government. This will surely take India to new heights of prosperity and prosperity.
(These are the author’s own views)