India can attract far more foreign investment, so why doesn’t it?
To achieve that we need second-generation reforms in politically difficult areas like labour, environment, and land acquisition. But even first-generation reforms—lifting controls and permits—are far from complete
Foreign investors see impressive things in India. It is the fastest-growing major economy, with political stability, a young population, a large domestic market, and robust growth prospects. Yet India remains a paradox: It can attract much more foreign investment, but it will not.
