unlocking investment opportunities in india for development projects

1. FINANCING FOR
DEVELOPMENT
UNLOCKING
INVESTMENT
OPPORTUNITIES
IN INDIA

2. INTRODUCTION
As a low middle income country need to improve a
lot .After the US and China ,its becoming the third
world's largest economy. Indian stand at second
position in the world population . India still a dream
market for every business house in the world
because the younger population. But for business
houses there are difficulties to enter into a country.

3. DEVELOPMENT IN INDIA
• 1947 India declared as a democratic country after Britishers ruled the country for more than 200 years.
Country faced a lot difficulties in development .after 70 years of its independence the country stand as
third largest economy in the world .the country yet to make lot of improvement in peoples standard of
living, Education, infrastructure and agriculture sector .most of the countries rural population lives
below poverty line and their highly dependence upon agriculture made their financial position even
worse. India started its growth in 1991 the current estimation states that GDP growth at7.2
percentage(approx.) .

4. PROBLEMS IN COUNTRY
INFRSTRUCTURE AGRICULTURE POVERTY
STANADARD OF
LIVING
EDUCATION

5. HOW WE GONNA FINANCE FOR THESE PROJECTS
GOVERNMENT
PUBLIC SECTOR
PRIVATE
SECTOR

6. FINANCING FOR
DEVELOPMENT
PUBLIC AND PRIVATE
PARTNERSHIP
PRIVATE SECTOR
India needs trillions for its development
projects. the fiscal policy won’t be
support anymore in big number. There is
really need for alternative source to fund
development projects .
Two alternatives .

7. BUSINESS CLIMATE IN INDIA
• To finance for these projects government need
more money it cant alone sponsor all programs
.so we have alternative here we can boost
PUBLIV PRIVATE PARTNERSHIP,PRIVATE SECTOR
INVESTMENT IN DEVELOPMENT PROJECTS .
• countries Business climate decides how much
they can attract from private sector.
• India stands at 130th position in ease of doing
business countries.
country Position in ease of
doing business
NEW ZELAND 1
SINGAPOOR 2
DENMARK 3
HONGKONG,SAR CHINA 4
KOREA,REP 5
INDIA 130

8. PROBLEMS FOR BUSINESS CLIMATE IN INDIA
• CORRUPTION
• REGULATING LAWS
• FROEIGN INVESTMENT LAWS
• ECONOMIC STABILITY
• POLTICAL WILL
• GOVERNMENT
• OVERCOME OF THESE WILL BE MORE INFLOWS INTO COUNTRY AND PRIVATE INVESTORS WILL ATTARCT
MORE FOR DEVELOPMENT PROJECTS

9. FINANCIAL SOLUTIONS IN INFRASTRUCTURE SECTOR
• Provide Adequate information on projects. the infrastructure projects faces land disputes from citizens
that causes delay in completion of project. Government should provide such kind of issues and solution
before announcing the project.
• Regulations regarding investment: mainly regulations regarding investment from foreign countries are
more threaten to FDI. reduce the legal hindrances to free flow of money from foreign countries to
development projects will be better in development projects improvements .they come with not only
money but also sophisticated technology which reduces the time for completion of projects.
• Enforcing contracts also one of the problem in India because lot of paper work involved in it .it should
be reduced that easy and efficient registration system attracts private investors.
• Risk mitigation for private sectors in infrastructure projects are most dominant role to attract
investment.

10. FINANCIAL SOLUTIONS IN INFRASTRUCTURE SECTOR
• Using capital markets
• Using pension funds
• Bankable projects
• Guarantees from government

11. UNLOCKING INVESTMENT OPPORTUNITIES: CASE
STUDY
• Hyderabad one of the India's fastest growing city. Traffic always a problem there.to save time
government wants come up with a new and speedy transportation system which reduces personal
vehicle consumption also. They option they took metro rail construction to connect city. Involving huge
cost government don’t want to invest into that chance given private sector construction firm L&T with
government support.
• During project there many problems regarding time, land .government stud with L&T and helped them
to get-out from the land issues .if any increase in cost because of land disputes government guaranteed
to pay them.
• The project started again and taking steps towards completion successfully.
• If government supports development projects taken by private investors .there will be a more inflow
from private sector to development projects .

12. UNLOCKING INVESTMENT OPPORTUNITIES IN
RAILWAYS
• Indian railways worlds 4th largest transportation system. Facing lot of difficulties because its subsidised
rates towards consumers travels .it recover only 50+% of its expenses travel by one kilometre.
• The development in railways not considered because of huge cost involved in it . the railways don’t have
monetary capacity to face such huge cost.
• Here PPP(public private partnership) can help railways increase their development projects such as
replacement of tracks, waste management, catering etc.
• Loans from private investors to fund railways projects also considerable because its in profit .

13. POLITICAL WILL OF COUNTRY
• Government will is compulsory to attract private investment and partnerships
• Provide a pipeline to drive development projects by private investment
• The hindrances to flow funds will be reduced the political will of country
• Corruption Is one of the most vicious thing in country to attract investors certain steps should take to
curb the corruption
• Certain input credits and tax exemption may allowed in certain areas of development.