Gandhinagar: Gita Gopinath, First Deputy Managing Director of the IMF, today highlighted Gujarat and Tamil Nadu as key areas in India attracting significant foreign investment.

During an interview with a news channel on August 16, Gopinath particularly stressed the need to enhance India’s business environment and suggested key measures, including streamlining regulations, reducing bureaucratic hurdles, and making it easier for businesses to operate. These steps are essential for attracting both domestic and foreign private sector investment.

The economist said, “The two bright spots in India are Gujarat and Tamil Nadu. Both of them also rank high in terms of business climate. So there’s a strong correlation there. Implementing that countrywide would be very helpful.”

She attributed this success to their favorable business environments, including ease of doing business and efficient handling of bureaucratic processes. Gopinath suggested that implementing similar practices across the country could be highly beneficial.

Discussing short-term goals for India, Gopinath emphasized the importance of labor reforms, particularly the implementation of the new Labour Codes, which require both central regulation and state-level incentives. She also stressed the need for further investments in public and digital infrastructure, despite progress already made in these areas. DeshGujarat