Are GST Reforms a Step Forward According to Jamshyd Godrej?
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Synopsis
Jamshyd Godrej, the Managing Director of Godrej & Boyce, advocates for a focus on stimulating domestic demand to attract investment in India. He praises recent GST reforms while calling for further improvements in business operations. This highlights the importance of demand-driven investment in the current economic landscape.
Key Takeaways
- Domestic demand is essential for attracting investment.
- Investment is driven by demand, whether private or public.
- The recent GST reforms are a positive step but require further enhancements.
- Financial inclusion and digital transformation are key areas of progress in India.
- The Financial Inclusion Index reflects an increase in formal financial access.
Mumbai, Nov 26 (NationPress) The focus of Indian enterprises should be on stimulating demand domestically to draw in increased investment, asserted Jamshyd Godrej, Managing Director of Godrej & Boyce, during a recent discussion. Speaking with journalists at the CII Manufacturing Summit, he emphasized that investment—whether private or public—is primarily driven by one essential factor: demand. In his view, when demand is present, capital investments naturally follow.
“Investment, whether it’s from private or public sectors, hinges on demand. If there’s sufficient demand, investment will inevitably come, so I see no reason for concern,” he remarked.
Godrej believes that the primary objective should be to foster demand.
He supported the government's initiatives, including the recent GST reforms, particularly in light of the challenging global geopolitical climate. He noted that the reduction in GST rates was a commendable move, and further improvements in the ease of doing business should also be prioritized.
“Reforms such as the recent GST adjustments are indeed a step in the right direction, yet there remain numerous areas where the ease of doing business can be enhanced,” he stated.
Additionally, M. Nagaraju, Secretary of the Department of Financial Services (DFS), who spoke at the event, highlighted India’s significant strides towards financial inclusion and digital transformation, labeling these achievements as among the nation’s most notable in recent times.
He pointed out that these reforms have transformed India’s financial framework and bolstered public confidence in governmental institutions.
“The narratives of financial inclusion and digital transformation stand out as two of India’s greatest success stories,” he added.
Nagaraju noted the steady rise of India’s Financial Inclusion Index, which climbed to 67.0 in March 2025 from 64.2 the previous year, indicating that a growing number of individuals are integrating into the formal financial system.
Point of View
The focus on stimulating demand within the Indian market as a means to attract investment is a strategic and necessary approach. The acknowledgment of recent GST reforms by influential leaders like Jamshyd Godrej reflects a positive trajectory in government policies aimed at enhancing the business environment, although there is still room for improvement.
NationPress
26/11/2025
Frequently Asked Questions
What is the significance of GST reforms?
GST reforms are crucial as they simplify the tax structure, reducing the burden on businesses and encouraging investment.
How does demand influence investment?
Investment follows demand; when there is a strong demand for products or services, investors are more inclined to allocate their capital.
What are the current challenges for Indian businesses?
Challenges include improving the ease of doing business and adapting to a rapidly changing global economic landscape.
Who is Jamshyd Godrej?
Jamshyd Godrej is the Managing Director of Godrej & Boyce, a prominent figure in advocating for business growth and economic reforms in India.
What is the Financial Inclusion Index?
The Financial Inclusion Index measures the extent to which individuals have access to financial services, showing improvements in financial integration.
