The Pattali Makkal Katchi (PMK) has accused the Tamil Nadu government of grossly exaggerating its investment achievements, alleging that only a small portion of the Memorandums of Understanding (MoUs) signed under Chief Minister MK Stalin have resulted in real, on-ground projects. The DMK government has dismissed the charges as baseless, politically motivated, and reflective of a poor understanding of how investments materialise.
PMK president Anbumani Ramadoss told reporters that his party had compiled a document “exposing the DMK’s fake investment campaign.” He claimed the government’s assertion of attracting ₹11.32 lakh crore in investments and creating 34 lakh jobs over 4.5 years does not match actual approvals or implementation. According to him, Cabinet approvals covered only ₹1.56 lakh crore worth of projects, and operational investment on the ground was “less than ₹1 lakh crore,” which he said translates to just nine per cent of the MoUs signed.
Ramadoss alleged that major companies have been avoiding Tamil Nadu due to a climate of “corruption, collection, and commission,” arguing that the business environment is becoming hostile. He pointed to Chief Minister Stalin’s seven foreign trips—said to have yielded MoUs worth ₹34,000 crore—as examples of agreements that have not materialised. He also cited Google’s pledge of ₹1.25 lakh crore in Andhra Pradesh and BYD’s decision to invest ₹85,000 crore in Telangana despite already operating in Tamil Nadu as evidence that the state is losing out to competitors.
“Businesses are moving away from Tamil Nadu. The Chief Minister and his Ministers are lying to the people,” he alleged, accusing the state of habitually blaming the BJP to hide its failures. The PMK released a booklet detailing MoUs signed over different periods and said its intention was to push for real investment and employment.
Industries Minister TRB Rajaa countered strongly, saying critics routinely raise “new conspiracy theories” every time Tamil Nadu announces major investments. He argued that the allegations stem from a fundamental misunderstanding of the investment cycle. MoUs, he said, are preliminary commitments, after which companies undertake land identification, incentive negotiations, regulatory clearances, financial closures, and construction. Expecting full investment before breaking ground, he said, shows “immaturity” and “a lack of business knowledge.”
Rajaa also accused critics of ignoring situations where the BJP-led Union government has withheld approvals for Tamil Nadu projects—such as the rejected Coimbatore and Madurai Metro DPRs—or diverted semiconductor investment proposals to other states.
Citing Union government data, Rajaa said Tamil Nadu is the fastest-growing state in India with an 11.19% growth rate driven by manufacturing. “If MoUs are not turning into investments, how is manufacturing — the very engine of growth — recording such high expansion?” he asked, characterising the PMK’s claims as illogical and politically driven.
The exchange underscores a deepening political battle over economic performance ahead of the 2026 Assembly elections, with both parties projecting competing narratives on investment, industry, and governance in Tamil Nadu.
