‘Investments are only in gold, reales

Vol. 6 | issue 7 | August 2012

talk time
 s l bansal oriental bank of commerce
‘Investments are only in gold, reales
As the 14th Chairman and Managing Director of Oriental Bank of Commerce, S L Bansal has his priorities clear. He wants to transform the Bank, which had its origins in Lahore, into one of the finest public sector banks that customers can depend upon. Bansal talks about his priorities in an interview with Neeraj Mahajan. Excerpts:
Today, there is a negative sentiment to the investment climate. However, while the public says that the interest rates are very high, to my mind this is not a factor that influences investment decisions. Even when the interest rates were as high as 19-20 per cent, people were bringing in projects and taking bold decisions. If an entrepreneur feels that he can make some profits, he will go ahead with a project whatever be the cost. However, the biggest hurdle an investor faces is getting the requisite clearances. For example, in case of a road project, an investor does not know whether the NHAI will be in a position to give them the right to way, or land on time, or whether all clearances will be there when they start acquiring land? It is these things that that lead to cost overruns. It is factors like these that create roadblocks for decision-making by entrepreneurs. Today, people are putting in their money in real estate and gold, as a result of which savings are declining. This decline in savings has a co-relation with investment and this is evident from the decline in gross capital formation……………READ MORE

About gfilesmagazine

gfiles is the country's first independent magazine written, designed and produced for India's civil services—the vast and formidable network of bureaucracies and public sector organisations that provides continuity and stability to this nation's governance.
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