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From the Editor’s Desk: Straight Talk, No Chaser
CUTS’ April webinar, Fix the Base to Fuel the Race, spotlighted the urgent need to streamline regulations and restore trust in Rajasthan’s administrative systems. Speakers’ emphasised that legal simplification and enhanced accountability are critical to unlocking the state’s investment potential. Rajendra Bhanawat, Former Managing Director of RIICO underlined the corrosive impact of corruption on business sentiment, while Pradeep S Mehta stressed that “there is an urgent need to address the prevailing lack of trust, accountability, and transparency in government dealings to ensure a healthy and conducive business environment.”
Building on this momentum, the REMIT Advisory Committee proposed a forward-looking strategy at its meeting—recommending that CUTS International submit a detailed memorandum to the Government of Rajasthan. The strategy would identify high-potential sectors to boost revenue, employment, and investor confidence, laying the foundation for more targeted, data-driven policymaking.
April also saw a concrete uptick in investment activation. The Chief Minister announced that ₹3.1 lakh crore worth of investments under the Rising Rajasthan banner have now entered various stages of implementation. However, global and domestic headwinds remain. Tariff tensions with the US disrupted Jaipur’s gem and jewellery exports, leaving many artisans and traders in limbo.
Domestically, MSMEs filed over 47,000 claims for delayed payments totalling ₹8,025 crore and continued to urge the Centre to ease BIS certification norms, which disproportionately burden smaller units. In parallel, the state made progress in adventure tourism planning, renewable energy deployment, and agricultural digitisation, achieving first place in the national farmer registry.
As Rajasthan repositions itself in India’s growth story, the challenge is not ambition, but consistent execution — through transparent governance, timely delivery, and equitable growth. April 2025 offers evidence of movement in the right direction, but also a reminder of the road still ahead.
Varidhi Singh
Editor
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CUTS’ webinar called for urgent reforms to improve transparency and trust in Rajasthan’s business ecosystem. Legal simplification and administrative accountability emerged as key to unlocking investment. Mehta reiterated that “there is an urgent need to address the prevailing lack of trust, accountability, and transparency in government dealings to ensure a healthy and conducive business environment.”
At the Advisory Committee meeting of the REMIT project, it was proposed that CUTS International will submit a memorandum to the Government of Rajasthan, with sector-wise analysis of revenue generation potential in the state. The goal is to attract increased investment, reduce the state’s fiscal deficit, and generate employment by identifying and harnessing high-potential sectors.
MSMEs warned that mandatory BIS certification could cripple them. High compliance costs may force closures, risking massive job losses across India's informal backbone.
Delayed payments continue to plague MSMEs. Over 47,000 claims reflect a systemic liquidity crunch and underscore the need for enforceable payment timelines from large buyers and governments.
Stakeholders raised concerns about inadequate infrastructure and unresolved administrative bottlenecks, calling for urgent policy and operational interventions.
Policy ambiguities and unmet incentives have left liquor vendors disgruntled, revealing a gap between government assurances and on-ground realities.
Rajasthan mobilised ₹3.08 trillion worth of MoUs for implementation post-summit — an early, encouraging sign that efforts to translate intent into action are taking root.
Rajasthan CM announced plans to publicly identify defaulting investors. With many MoUs going cold, increased tracking and accountability will aim to prevent ghost agreements.
RIICO’s recent land sales reflect strong industrial interest in Rajasthan. However, clarity on utilities and compliance remains essential for actual operationalisation.
CM confirmed that a significant portion of the Rising Rajasthan summit’s investment commitments have reached advanced stages, positioning the state for substantial job creation and economic expansion.
A definitive timeline for land allocation signals a move toward more predictable, time-bound MoU implementation – addressing a long-standing bottleneck.
The Tourism Department, collaboration with the Forest Development Corporation and local bodies, will promote adventure tourism, featuring hot air balloon safari, skydiving and many more.
Vedanta’s leadership reaffirmed confidence in Rajasthan’s resource-rich base and progressive policies, spotlighting its potential in mining-led manufacturing and renewables.
The policy aims to shield the textile sector from external shocks while enhancing competitiveness and employment in labour-intensive clusters.
CM Sharma reiterated Rajasthan’s ambition to lead green energy transition, particularly through solar power expansion.
A major solar facility in Pokhran is now operational, significantly increasing clean energy capacity and generating employment along the value chain.
Despite global turbulence, India’s robust macroeconomic fundamentals position it a promising destination. The RBI predicts 6.5 percent GDP growth for FY25.
Indian officials highlighted the country’s resilient growth and called on US industries to consider India as a reliable hedge against global shocks.
Rajasthan stands out with nearly half of the national road infra budget allocated to the state. Projects include 28 flyovers to boost connectivity and logistics.
Digitisation and robust data validation propelled the state to the top, streamlining subsidy delivery and expanding financial inclusion for farmers.
Unregulated industry activity near residential zones raises alarm over and environmental and public health risks. Residents demand immediate action.
Vedanta’s zinc arm, operating out of Rajasthan, has reached the top of the global zinc production ladder, reinforcing the state’s importance in the global minerals map.
Geopolitical tensions have disrupted exports, particularly impacting Jaipur’s gem and jewellery sector, creating liquidity and employment concerns.