India bright spot in global economy: World Bank

New Delhi, June 30 

World Bank President Jim Yong Kim today promised “proactive” and “full support” to India’s efforts for evironmentally sustainable development as Prime Minister Narendra Modi pitched for adequate climate change financing. Kim, during a meeting with Modi here, appreciated India’s “rapid progress” in improving the ease of doing business, especially in the area of logistics, a PMO statement said.

The Prime Minister and the World Bank chief discussed a broad range of issues and possible avenues of cooperation, the statement said.

Modi emphasised the importance of adequate climate change financing for countries like India which are consciously choosing to follow an environmentally sustainable path, it said.

Kim assured the Prime Minister that the World Bank would be “proactive” and “fully support” this agenda, the PMO said.

Modi expressed happiness at the World Bank’s continued support to India, especially in priority areas like Smart Cities, Ganga Rejuvenation, Skill Development, Swachh Bharat and ‘power for all’. The World Bank chief appreciated developmental efforts under Prime Minister Narendra Modi, saying the country has emerged as a “bright spot”, as it has pitched for bettering its ranking in the ease of doing business index.

Kim also met Finance Minister Arun Jaitley, Power Minister Piyush Goyal and Commerce Minister Nirmala Sitharaman today and discussed ways to increase funding in various projects, especially renewable energy sector. “We are pleased with the progress that’s been made in six priority areas. Prime Minister Modi and his entire Cabinet have set extremely difficult and important targets. I have been so pleasantly surprised how much progress that has been made,” Kim said. He said the World Bank lending has gone up tremendously over the past two years to over $5 billion and that would continue for the next few years.

“India’s growth that is now at 7.6% is a true bright spot and one of the few bright spots in the global economy,” Kim said, adding India can act as a lesson for both developing and even developed countries. Talking to reporters after the meeting, Jaitley said the discussions on global and economic situation and opportunities for World Bank to finance development projects figured in the meeting.

There is a pipeline of projects in India which needs a lot of developmental finance, he said, adding World Bank has been in the forefront assisting in those programmes. “With regard to ease of doing business ranking, we have given our viewpoint to the World Bank. Their teams will separately be coming to India to assess the progress that we made in this regard,” Jaitley said.

India ranks 130th out of 189 economies on the World Bank’s Doing Business report, which is topped by Singapore as the easiest country to do business. Though India has moved four places up, it ranks way below China, which is placed at 84th position. PTI

RBI Governor Rajan meets Jaitley

RBI Governor Raghuram Rajan today called on Finance Minister Arun Jaitley as the Central bank and government seek to quickly put in place a new interest rate-setting mechanism. Asked if the structure of the Monetary Policy Committee would be put in place before the next policy review due on August 9, Rajan said: “I think we are putting out the structure. Let’s see how far it goes.”