Digital Reforms Boost Kerala's Business Ranking
Kerala's focus on digitization and regulatory reforms has significantly improved the state's position on the central government's Business Reforms Action Plan (BRAP) rankings, according to Industry Minister P Rajeev.
The BRAP assessment, conducted by the Ministry of Commerce and Industry, evaluates states based on parameters like transparency, efficiency and effectiveness of their business policies and services. Kerala saw a major jump, moving from 16th place last year to securing the top spot in 2022.
The minister credited legislative changes that expedited license approvals for industries. A new law allows investments over 50 crores rupees to start without permission for three years. Another cuts approval time for non-MSME licenses to just one week if documents are complete.
Streamlining banking digitally and establishing a grievance redressal body for transparency were also highlighted. Rajeev said direct feedback from 500 industries informed their reforms to boost jobs and investment.
Given Kerala's land constraints, the focus is attracting knowledge-based sectors aligned with its human capital. The government aims to develop strengths in IT, artificial intelligence, automotive technology and more.
While manufacturing relies on migrant labor, knowledge jobs offer higher local salaries and create associated opportunities. With economic and political stability, the state works to promote transparency as the least corrupt region in India.
