Munjal positive on Indian regulatory framework

Kolkata, Mar 8 () Hero Enterprise chairman SunilKant Munjal has lauded the regulatory framework of the countrysaying it is getting better and regulators are now stepping inpromptly to handle financial crisis.

India is currently experiencing the "pain oftransition", Munjal said at the launch of his book "The Makingof Hero".

"A lot of questions on IBC was raised but the way itis functioning... in the next 2-3 years, it will be a smoothfunctioning system," Munjal said at the programme on Saturday.

Stakeholders had raised concerns as cases dragged onfor months and years in the NCLT and NCLAT and some of themost important cases have eventually settled in the SupremeCourt.

On Goods and Services Tax, Munjal said although theinitial concept of GST was simple, it has now become complexowing to "a lot of political compromises".

Nevertheless, he expects that complications around thelatest tax structure would be addressed and GST willeventually evolve into a simpler form.

Asked about the RBI's intervention in Yes Bank and thepossibility of SBI picking up a 49 per cent stake in it,Munjal said, "It sends a very mixed signal. On one hand, itproves that the regulatory bodies are awake, On the other, itscared a lot of people who are not able to access theirdeposits."

On the state of the economy, he said it is expectedthat consumption may start picking up from the next 2-3 monthsbut it will take 5-6 quarters for a full-fledged recovery tostep in.

Asked about the novel coronavirus threat on theeconomy, Munjal said, "I am concerned but not worried. Thenegative impact of the virus should start receding by month-end but it needs to be seen how it impacts."

Tata Steel MD and CEO T V Narendran who was present atthe programme said the government has acted swiftly in the YesBank case and its assurance to address problems within atimeframe of 30 days is very prompt. BSMNN NN