Why is Kerala hostile towards investors? Even though having a high rank in sustainable development goals by NITI Aayog, why is it not able to retain or attract investors? What is Kerala doing wrong?
Kerala continues to have a negative image for investor friendliness, as indicated by its low placement on the Centre’s Ease of Doing Business (EoDB) rankings, despite some flimsy attempts to entice investors to the state. Rather than commissioning a thorough investigation, the ruling party blames others. It relies on glowing assessments to claim that its investor-friendliness is on par with the finest in the country.
Kerala remains a core cemented by a conventional attitude of business, no matter how modern it tries to appear. Despite the discrepancy in perks, a government job is preferable to private-sector employment for a sizable set of people.
To acquire a government career, children are instructed to concentrate on competitive tests and grades. The phrase “not meant for us” is used to discourage business ambitions. This is why the rare people who leave well-paid employment to start their enterprises are still referred to as “aberrations.”
People still believe that the government must run enterprises. Disinvestment and privatization remain taboo topics. The battle that erupted when the Centre proposed privatizing the Thiruvananthapuram Airport has yet to be resolved. Kerala has always claimed that the respective states should handle airports, but the state tried to bid for the far-flung Mangalore Airport in Karnataka.
There may be political conflicts between the ruling party and business leaders, but old scores must not be paid at the expense of state investment. If we choose not to wake up and smell the coffee, we will soon witness the few remaining investors unable to board private planes to other states due to their luggage. Frequently, the answer is only a phone call away.