The red flag issues that endanger the Indian Inc are that of corruption, bribery, and fraud. According to a survey conducted by FICCI, these three are the major issues, which adversely affect the India Inc. To fathom out various issues undermining the country’s prosperity was the main target of this survey. The hideous swindles and frauds in public and private sector in India emerged on a large scale, which made India vulnerable in the eyes of the corporates globally. This has had an adverse influence on the investments made in the country, unless some strict action is opted, this negative impact would continue to prevail.
Strikes, closures, and unrest are the other alarming issues in India, which directly affect the country’s productivity. These were ranked as the second biggest risk for the corporate India according to a survey conducted in 2013.
The number three in the list of red flag issues is reserved for the factors related to the political instability, particularly in sync with the upcoming Lok Sabha elections. The fourth and fifth biggest risks cover the crime and cyber insecurity in the nation.
Mr. J.K Sinha, a member in the National Disaster Management Authority is the man behind this survey release. As an antidote to these evils that prevail in India, Sinha suggested a need for a mechanism that is capable of dealing with these risks along with the Industry and the government.
“There is an urgent need to combine the capabilities of industry and government to limit the impact of disasters on businesses so that they can go about their operations unhindered,” he emphasized.
FICCI Homeland Security Committee’s chairperson Mr. G K Pillai said: “A policy environment that trusts businessmen and entrepreneurs is the need of the hour. India’s ranking on ease of doing business has to improve by 50 places in the next twelve months if any impact has to be made.”
The increase in the crime rate in India is a major factor for the hindered growth of the Indian Economy. Foreign investors hesitate to invest in India because of all these alarming issues. The survey revealed India as one of the violence prone nations with a very high percentage of violent crimes.
The banking sector is more vulnerable to cyber frauds. The hackers target the government websites and discredit them, the survey revealed.