Chennai: Under Chief Minister Edappadi K Palaniswami’s governance, Tamilnadu in the last two years has seen growth in many areas in terms of business.
The first and foremost issue that the State had to tackle was to develop and pitch Tamilnadu as business-friendly.
The Chief Minister had himself stated at a States conclave that was held in New Delhi last year that Tamilnadu has a “rare” development model – “Business-friendly, even as (it) ensures that adequate attention and funding are provided for welfare”. Incidentally, Tamilnadu was adjudged as the best performing State in 2018.
On the State economy, Palaniswami said the State has an “innovation-based” economy that’s home to “one of the best-educated and skilled workforces in the country”.
The State government had always moved with the Centre when it comes to business ideals. When the Goods and Services Tax (GST) was first brought up, Tamilnadu was among other States which hailed the reform.
The government had said GST was a ‘landmark in the field of indirect tax reform’ and also as a “transparent and self-policing tax regime”.
It must also be noted that the State Commercial Taxes department collected a revenue of Rs 73,148.28 crore in 2017-18 and this included GST compensation and IGST settlement advance. Revenue collection had clocked a 10.51 per cent growth rate against the previous year too.
Another big move by the Palaniswami government was to bring in the much talked about plastic ban that came into effect from 1 January this year.
Despite facing flak from plastic manufacturers, the government has until now upheld its decision to reduce plastic consumption.
The State has always been a manufacturing hub for automobiles in the country. Exports-wise, Tamilnadu holds more than 45 per cent share. However, recent trends in the political scenario of the State saw investors shy away.
Palaniswami brought the Global Investors’ Meet (GIM) back and the recent edition saw investments touch Rs 3.4 lakh crore with promises made for creating job opportunities for one million people with 146 Memorandums of Understanding (MoUs) having been signed.
Palaniswami stated that the event was a “grand success” and also went on to announce the State’s prioritised effort to launch electric car manufacturing facilities.
There are other developments like inauguration of the Defence Industrial Corridor in Tiruchi that is expected to attract Rs 3,123.50 crore investments, the launch of the Startup and Innovation policy 2018-2023, coming up with Information Communication Technology Policy, among others.