West Bengal to replace outdated incentive schemes with new policy

The West Bengal government plans to end the Incentive Schemes introduced in 2001. A new policy focused on current industrial needs will be introduced soon. State industries minister Shashi Panja presented a bill to revoke the old schemes at the assembly on Wednesday. Chief Minister Mamata Banerjee emphasized that the existing incentives are outdated. She noted that fulfilling commitments set by the previous government has become challenging. Banerjee mentioned that the economic conditions at the time of the old scheme were very different. Today, new sectors like artificial intelligence and tourism are growing in the state. Banerjee revealed that a committee has been formed to develop the new policy, with attention to the state's financial situation. Panja added that since 2011, the state has seen stability, with no strikes or power cuts, which has encouraged new investments. Business leaders in West Bengal welcomed the government's decision. Rajeev Singh from the Indian Chamber of Commerce said the updated incentive scheme could greatly benefit new industries. Amit Saraogi, president of MCCI, expressed hope that the new plan would attract businesses. In related news, the state government has proposed a bill to raise its borrowing limit from 3% to 3.5% of the Gross State Domestic Product for the 2024-25 fiscal year. This change is linked to reforms in the power sector, according to the 15th Finance Commission's recommendations.