Renewable power producer ReNew Power on Friday batted for blanket relaxation of foreign direct investment (FDI).

In an interview to Network18’s Bhupendra Chaubey, Sumant Sinha,

chairman and managing director said that the cost of capital is very high in India.

"We are borrowing and in local terms at Rs 10-11 – that cost of borrowing with inflation at 3 percent, the real cost of 7-8 percent and it just makes any investment returns relatively high. You have to get at least 16-17-20 percent to justify the risk that people are taking and getting that kind of returns in India it’s not easy,” he said.

On infrastructure, Sinha said, "For example, land acquisition is still a problem, the sanctity of contracts is still a problem, stability of future policy still needs to be looked at and a lot of people talk about labour issues and so on."

Talking about the investment, he said, Why can’t we privatise state-owned companies in India, why cannot we denationalise the banking system."