IT is the buzz word for 2014
A very new and important policy announcement by the Karnataka government, is the i4 policy, to strengthen the IT and ITeS industry in the state.
The policy provides the much needed directive for the growth of Information Technology (IT) and IT-enabled services (ITeS) sector in the state. This new policy will undoubtedly generate large scale employment, ensure wider distribution of wealth and boost entrepreneurship.
Land at concessional rates, a single window clearance system, exemption of Karnataka Industrial Employment Rules for five years, treating IT and ITeS as essential services like public utilities – these steps will help existing companies to grow in the state and attract new ones.
The other area where a significant impact will be felt is entrepreneurship and SMEs. For any start up, one of the major challenges is real estate. Providing a concession on real estate will encourage entrepreneurship among the local population. The state produces young professionals, bright young men and women, who have the ideas and mettle to start innovative enterprises. This will help them translate their dreams into reality.
One of the striking things about the i4 policy is the way government is rolling out its support. The government has also taken the right step towards marketing the capital through Brand Bangalore 3.0 and Bangalore Fund. Partnering with industry will help it attract investments and facilitate trade in the state. The other important aspect of the policy is promoting equitable growth, which the policy will do effectively. It has incentivized investments in cities outside of Bangalore and also linked subsidy to the wages. You are not only generating employment but also mandating a minimum wage for employees. In totality, such an approach by the state government intends to boost the local economy.