Jyotsna Suri, chairperson and managing director, Bharat Hotels that runs the luxury hotels chain "The Lalit" under the Lalit Suri hospitality group has been appointed the President of Federation of Indian Chambers of Commerce and Industry (FICCI).
In an exclusive conversation with CNBC-TV18, Jyotsna says the performance of the Modi-government has been satisfactory in the first six months with the government making some big hits by getting reforms in motion.
She believes it is too early for the growth to pick up at ground at the government must be given at least 18-24 months before everything that has started now will finally come to fruition.
“I do not think that the last quarter (Q3) is going to be very much different from the second quarter. However, FY16-17 is where we will begin to see the real growth,” she concludes.
Below is verbatim transcript of the interview:
Q: It has been about six months for the Modi government. How has the performance been?
A: The first six months have been pretty satisfactory. The biggest achievement that this government has had is the fact that it has been able to create a good mood and a good sentiment. So, from that point of view I would say the first six months were fairly satisfactory.
Q: Do you think that it is only a change in sentiment or things on ground seem to be changing right now in terms of concrete action?
A: They have had a number of hits. For example, the biggest hit is the fact that they have actually got all the reforms in motion, the Prime Minister travelled all over the world. He has generated a huge interest in India. He has also managed to create a good relationship with his neighbouring countries. So, the hits have been fairly good for such a short time.
Q: I don't think India Inc thinks that way at all, lot of people have been complaining that nothing has changed on ground, it is just about sentiment. Aren't you getting complaints from India Inc as a whole?
A: No. India Inc that I know of is not complaining. However, it is too short a time, it is only six months and I do not think that anything on the ground can actually come out – you begin by building a good sentiment, you begin by generating interest in the country and then that is how it moves forward.
Give it 18-24 months and everything that has started now will begin to bear fruits.
Q: The Union Budget is just round corner, what are your expectations?
A: We are hoping that there is some rationalisation on the expenditure particularly the subsidy, rationalisation on tax regime. GST has already been set into motion and we are looking at implementation of GST which will subsume all other taxes, will also covers every sector and would be of a prudent number.
Q: What is you sense about the growth curve itself, do you think the last quarter or third quarter of calendar year was better than the previous quarter? Are you actively seeing a turn around now?
A: It is too early for that growth curve to take place. However, the sentiment is good. You have to begin step by step, you can't just shoot up. There has been a legacy of the last few years which the present government is very keenly trying to set right. The first step is to get the right sentiment and the right mood.
I do not think that the last quarter is going to be very much different from the second quarter. However, FY16-17 is where we will begin to see the real growth.
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