Ease of doing business: NITI Aayog calls for stronger regulatory reforms in West Bengal
NITI Aayog vice-chairman Ashok Lahiri has raised concerns about West Bengal’s performance on regulatory reforms, urging stronger state and local action to improve ease of doing business. Speaking at a Bengal Chamber of Commerce and Industry event, he cited overlapping approvals in land use, labour, building permits, and fire safety that delay investment and raise compliance costs.
NITI Aayog Vice-Chairman Ashok Lahiri raised concerns about West Bengal’s progress on regulatory reforms. Ashok Lahiri said stronger action was needed to improve ease of doing business. Ashok Lahiri linked these changes to attracting new investment and supporting economic growth. Ashok Lahiri spoke at an event organised by the Bengal Chamber of Commerce and Industry.
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Ashok Lahiri said the state was not among the best performers on reforms. "I think West Bengal does not do too well in terms of the regulatory reform agenda. Its not one of the top achievers. We must do better,\" Ashok Lahiri said. Ashok Lahiri urged deeper state-level measures to improve the business climate.
West Bengal regulatory reforms and Viksit Bharat 2047
Ashok Lahiri said West Bengal should propose steps to strengthen the business environment. Ashok Lahiri said this would help draw more investment and speed up growth. Ashok Lahiri said such progress would support the vision of Viksit Bharat 2047. Ashok Lahiri said reforms needed to work on the ground, not just on paper.
Ashok Lahiri explained that India’s federal set-up spreads powers across many levels. Ashok Lahiri said rules often overlap between the Centre and states. Ashok Lahiri also pointed to roles for municipalities and panchayats in several fields. Ashok Lahiri said state and local delivery of reforms was essential.
West Bengal regulatory reforms and overlapping approvals
Ashok Lahiri said several approvals depend on multiple authorities. Ashok Lahiri listed land use, building permissions, labour administration and fire safety. Ashok Lahiri said this structure often creates overlapping conditions and long processing times. Ashok Lahiri said such delays can slow projects and add uncertainty for businesses.
Ashok Lahiri said compliance duties were spread across departments. Ashok Lahiri said each office may use separate forms and databases. Ashok Lahiri also mentioned varied inspection methods across departments. Ashok Lahiri said smaller businesses often face a higher share of compliance costs than larger firms.
West Bengal regulatory reforms and compliance simplification
Ashok Lahiri backed a central coordinating system to review regulations. Ashok Lahiri said the goal was to check if each requirement was necessary. Ashok Lahiri said duplication should be removed where possible. Ashok Lahiri said routine permissions in low-risk areas could move to self-certification or third-party checks.
Ashok Lahiri called for wider reform of India’s regulatory framework. Ashok Lahiri said heavy compliance, slow processes and jail risk for minor violations hurt entrepreneurship. Ashok Lahiri said these factors restrict MSME growth and raise business costs. \"Regulatory reform is not merely an administrative exercise. It is an economic growth strategy,\" Ashok Lahiri said.
Ashok Lahiri said excessive regulation adds direct financial and administrative burdens. Ashok Lahiri said it can also create scope for rent-seeking. Ashok Lahiri noted that large established firms may use barriers to limit competition. Ashok Lahiri said reducing such barriers would support smaller enterprises.
Ashok Lahiri argued for fewer repeat filings and less paperwork. Ashok Lahiri said firms should not be asked for data already with government. Ashok Lahiri also said trust between administration and industry was important. \"Trust and verify,\" Ashok Lahiri said, while adding industry should face checks too.
West Bengal regulatory reforms and easier business exits
Ashok Lahiri said reforms should also make business exits simpler. Ashok Lahiri referred to many closed factories in and around Kolkata. Ashok Lahiri said delays in closing unviable units caused economic waste. \"Land is being wasted, capital is stuck up,\" Ashok Lahiri said, while urging timely closure processes.
Ashok Lahiri said faster closures would free resources for better use. Ashok Lahiri said land, machinery, labour and finance could shift to productive activity. Ashok Lahiri said orderly exit systems should sit alongside easier entry and expansion. Ashok Lahiri said these steps together could support investment and growth in West Bengal.
With inputs from PTI


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