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'Big investment needed in infrastructure’

Birla said he expects some revival in the next few quarters

Policy Pulse
Publish Date: Jun 24 2016 10:28AM | Updated Date: Jun 24 2016 10:29AM

'Big investment needed in infrastructure’

 Aditya Birla Group will list its financial services business at the right time, may seek acquisitions in telecom to plug gaps in spectrum and also consider staring an asset recast firm in the middle of  bright prospects for an economic resurgence in the country, Chairman Kumar Mangalam Birla said told ‘The Economic Times’  in an interview in Mumbai.

 
During the interview, Birla said he expects some revival in the next few quarters. 
 
He also felt that internally the big inflection point is going to come when Centre increases its investment in infrastructure, pointing out that first sign could be primarily in roads and highways . 
 
Government is also looking to improve environment for business to help private investment, which has been staying behing. 
 
Ease of doing business, where policy-making at the Centre is concerned, that direction is quite clear. Emphasis is on letting business be, more and more,"Birla added further.
 
He further told the paper, “That is a big positive and that is what government at the Centre can do and is the biggest way government can support industries. I see a clear intent on that part and it is very consistent, there is no back and forth happening." 
 
He also appreciated Reserve Bank of India's asset quality evaluation, which has forced banks to recognise bad loans.
 
On telecom company Idea, Aditya Birla Group  chairman said will seek takeover targets that add to the company's arsenal as it gets ready for the launch of Reliance Jio Infocomm. 
 
"We are open for acquisitions that complete our requirement for, let us say, spectrum," the paper quoted him as saying.
 
He also added that an area of concern is insurance due to lack of a bank partner. 
 
"The fact is that it has become very expensive to acquire a bank partner, but if you compare us with others who do not have bank partners, then we have clearly outperformed," he further told the paper.