On 25 June, The Karnataka Government amended the “ The Karnataka Industries(Facilitation) act, 2002”, in the state cabinet meeting chaired by Chief Minister of Karnataka BS Yediyurappa, to facilitate and attract investment in the state.
Objective of the Act:-
The act helps to make simple regulations and procedures for requirements,creating an ideal environment for investment.
Highlights of the Act:-
- An industry does not need statutory permissions for the first three years to set up operations in the state. Permissions like approvals under multiple state laws, including trade license and building-plan approval.
- Promote ease of doing business and facilitate investors to invest in the state.
Background:-
The numerous procedures and clearances have resulted in delay of setting up industries resulting in huge economic toll and delayed investment to the state.
Note:- Gujarat and Rajasthan are the only two states in the country that have amended the act for small scale industries . Karnataka amended the act for small, medium and large scale industries.
About Karnataka:
Capital: Bengaluru
Governor: Vajubhai Vala
