In spite of efforts by the CPM-led Left Front government to project the state as a favoured destination for investors, a recent study on Indian entrepreneurs’ confidence in their businesses across 15 states shows that Bengal’s score is well below the national average.

Covering 1,000 entrepreneurs, the study conducted by consultancy firm KPMG and The Indus Entrepreneurs considered factors like finance, governance, infrastructure, local environment and ecosystem, manpower and regulatory issues.

While the national weighted average has worked out to be 3.31 on a scale of 1 to 5, where 1 is “poor” and 5 is “excellent”, Bengal has scored only 2.5.

The state has scored only 1.98 in governance, the national average being 3.01. In all the parameters, the state’s score is below the national average (see box).

The study shows that while the per capita income has improved in the last few years, the state has achieved low scores from its entrepreneurs across all parameters other than infrastructure where it is close to national average. Growth has been observed in sub-sectors like banking, real estate and hotels, while sectors like textiles, paper, paper and chemicals have also contributed significantly.

According to the study, the entrepreneurs in the state feel that thrust should be on creating a culture of entrepreneurship, and increasing the efficiency of the government procedure.

Rajiv Singh, secretary-general of the state unit of the Indian Chamber of Commerce, however, said there is nothing wrong in the state’s investment environment.

“The fault lies with the issue of taking care of smaller entrepreneurs.

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