Highlighting on Rajasthan’s existing strengths, Shri Rajendra Bhanawat, Former Managing Director of RIICO, emphasised that the state must prioritise simplifying existing laws for curbing corruption. He further stated, “easing operational and expansion challenges for existing businesses will effectively position Rajasthan as a hub for investment and trade”.
The speaker was speaking during a virtual panel discussion titled “EoRB: Where does the shoe pinch” hosted by CUTS International.
The discussion was a part of an initiative undertaken by CUTS, the Rajasthan Employment Manufacturing Investment and Trade (REMIT) which has been instrumental in facilitating investment and trade in Rajasthan, with a strong emphasis on inclusive economic growth and the creation of sustainable employment opportunities. The roundtable aimed to identify key obstacles hindering Rajasthan’s industrial growth, particularly in business operations and expansion, while proposing reforms to enhance the state’s competitiveness and support sustainable development.
Moderating the discussion, Shri Pradeep S Mehta, Secretary General of CUTS International, underscored the importance of recognising and supporting the state’s wealth creators. He noted 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”.
Furthermore, Mehta aptly highlighted that “Rajasthan must apply regulatory guillotine framework by performing the three-step test of legality, necessity, and proportionality to not only ease compliance burden but also simplify them.”
Speaking at the webinar, Smt. Rukmani R. Haldea, Former Additional Chief Secretary to the Government of Rajasthan, highlighted that persistent delays in land allocation and conversion processes, along with high conversion charges, have significantly hindered existing businesses and discouraged new investments in the state.
She stressed the urgent need to confront corruption head-on, stating that “Rajasthan must move from big talk to bold reform—by addressing land approval delays, eliminating red-tapism, and dismantling the rent-seeking machinery—to truly set an example for others to follow.”
Raghushree Poddar, Former Chairperson of FICCI FLO, Jaipur, aptly highlighted that while Rajasthan is renowned for its exceptional craftsmanship, the availability of skilled labour remains a significant challenge. She emphasised the need to foster a district-level skill culture to fully tap into the state’s local potential. “Skilling is the key to employability,” she stated, and “initiatives such as training programmes and mobile-based exams, particularly with a focus on women, can empower individuals and enhance their opportunities in the workforce”.
Speaking at the roundtable, Shipra Mathur, Founder of PEN Media Foundation and Dharatal Talks, emphasised the importance of leveraging technology to reduce human intervention, thereby minimising corruption and enhancing system efficiency. She noted that such advancements would ultimately lower both the time and costs for businesses in Rajasthan.
Additionally, she highlighted the state’s immense potential in renewable energy, particularly in solar power, and remarked, “While Rajasthan leads in solar tariffs, MSMEs face higher energy costs compared to other states like Gujarat and Karnataka. Competitive interest rates, subsidies, and favourable policies are essential to creating a thriving business environment.”
Sargun Kaur, Team Lead at Prosperiti, further emphasised that regulations should facilitate business operations rather than acting as obstacles to growth. Citing examples from the state’s labour regulations, she stated, “Growth shouldn’t feel like a hurdle race. Rules must be designed to foster an efficient working environment where progress is smooth and achievable for all.”
She further pointed out that current labour and land laws have contributed to a reliance on informal sector employment. Striking the right balance is essential. Innovative approaches are needed to make formal employment accessible and affordable, not only for large enterprises but also for small and medium-sized businesses.
The meeting brought together key stakeholders, including government representatives, industry leaders, academia, and civil society organisations, with over 40 participants joining the discussion online.
Headquartered in Jaipur, India, CUTS International is a global research and advocacy organisation with over 40 years of experience in promoting sustainable development, international cooperation, and inclusive governance.
With regional centres across Africa, Asia, Europe, and North America, CUTS is committed to facilitating discussions and driving positive change in global governance, trade, and economic development.
