- NITI Aayog released a report on “Investment Friendliness Index”.
- It is the first ever report on Investment Friendliness Index (IFI).
- It aims to benchmark and assess the readiness of Indian States and Union Territories (UTs) in attracting, facilitating, and sustaining domestic and foreign investments.
- It is a homegrown framework that assesses the investment readiness of States and UTs across eight pillars.
- Gujarat tops this Index as the best place to attract investment.
- It is followed by Maharashtra, Tamil Nadu, Goa, and Odisha.
- Hilly and North-Eastern States - Uttarakhand emerged as the highest-ranked, followed by Assam and Himachal Pradesh.
- Union Territories and City States - Delhi and Chandigarh.
The eight core pillars are:
- Infrastructure: Physical logistics, power reliability, and digital connectivity.
- Business Climate: Efficacy of single-window clearances and operational continuity.
- Resources: Availability of industrial land, skilled labour pools, and raw materials.
- Government Policy: Policy predictability and stability over time.
- Regulatory Ease: Minimization of bureaucratic friction and compliance burdens.
- Institutional Environment: Capacity, transparency, and responsiveness of state institutions.
- Financial Health: Fiscal prudence and state-level macroeconomic indicators.
- Environmental Resilience: Sustainability and ecological compliance parameters.