Congress Challenges Maharashtra’s Davos Investment Claims

Mumbai: The Mumbai Congress on Tuesday questioned the Maharashtra government’s claims of securing massive investment commitments at the World Economic Forum (WEF) in Davos. The party alleged that the BJP-led Mahayuti government was more focused on “event management” rather than delivering real economic outcomes. Mumbai Congress president and Lok Sabha member Varsha Gaikwad raised doubts over the necessity of signing Memoranda of Understanding (MoUs) in Switzerland with companies headquartered in Mumbai.

Ms. Gaikwad pointed out that several MoUs announced at Davos were signed with Mumbai-based real estate and investment firms, asking why such agreements could not have been executed within Maharashtra itself. Her remarks came even as Maharashtra Industry Minister Uday Samant said the State had signed 89 MoUs worth Rs 37 lakh crore at Davos.

A delegation of senior officials led by Chief Minister Devendra Fadnavis, along with Mr. Samant, is on a seven-day visit to Davos for the WEF. According to the government, in the first two days of the meet alone, MoUs worth Rs 37 lakh crore were signed. If materialised, these investments are expected to generate lakhs of jobs across sectors such as infrastructure, manufacturing, renewable energy, digital services, food processing, and automobiles.

Questioning the government’s claims, Ms. Gaikwad said the Chief Minister had announced on the very first day of the WEF that MoUs worth Rs 14.50 lakh crore had been signed, purportedly creating 15 lakh jobs. Among the companies named were Lodha Developers — owned by family members of State Minister Mangal Prabhat Lodha — with a proposed investment of Rs one lakh crore; the K. Raheja Group with Rs 80,000 crore; and Alta Capital–Panchshil with Rs two lakh crore.

All three companies have their offices in Mumbai, some of them near Mantralaya. When companies are Maharashtra-based and headquartered in Mumbai, why was there a need to go to Davos to sign these MoUs?” Ms. Gaikwad asked.

Responding to a query on the share of foreign direct investment (FDI), Mr. Samant told this newspaper from Davos that 30–60 per cent of the proposed investments involved FDI. He added that nearly 80 per cent of the investment committed by the Lodha Group was foreign direct investment.

Ms. Gaikwad said the Congress was not opposed to investment coming into the State, but the public must be informed about the gap between the government’s claims and ground reality. She pointed out that similar claims were made last year, when the Chief Minister said MoUs worth Rs 16 lakh crore had been signed at Davos.

If such massive investments and employment are actually coming into the State, why is the unemployment rate not declining? How many MoUs have actually been implemented so far? How much investment has materialised, and how many jobs have truly been created?” the Congress leader asked, demanding that the government release a detailed white paper to place the facts before the public.