The Commerce and Industry Ministry has already taken several measures and has proposed series of steps, including drastically reducing the time for registration of business to one day, single registration of all labour laws and cut in number of taxes to improve ease of doing business in India.

"Aim is to improve the ranking to 50th position in two years from 134th at present. Different government departments have already started consultation and deliberations on steps to improve India's ranking," sources said.

They added that meetings would continue to remove all the barriers and simplify the cumbersome procedures related to approvals and clearance mechanism for business activities.

According to a World Bank report, India has slipped three positions to 134th spot in the latest 'ease of doing business' list, which is topped by Singapore.

The Department of Industrial Policy and Promotion (DIPP), has identified sectors and specific reforms that are urgently required to substantially improve India's ranking in ease of doing business.

The department has listed as many as 46 action points for different central government ministries and state governments for improving the business climate.

For Corporate Affairs Ministry, it has suggested that the time taken in registration of business from existing 27 days be reduced to only one day as in Canada and New Zealand.

It has also called for doing away with the requirement of company seal and removal of minimum paid up capital for starting a business.

It has suggested introduction of Bankruptcy Law, Unified Insolvency Code, speedy constitution of benches under National Company Law Tribunal and fixing of a definite and predictable timeframe for rehabilitation and liquidation process.

Similarly, it has recommended reduction in number of taxes and permitting online payment of taxes; simplification of complex tax processes; expediting implementation of Direct Tax Code, Goods and Services tax besides abolition of minimum alternate tax for SEZ developers and units.

Further, it has called for a uniform policy and procedure for all states for a single window clearance along with combined application form and single registration for VAT and other state taxes.

The DIPP has also proposed timelines to implement these initiatives, aimed at attracting investments as part of the Prime Minister Narendra Modi's 'Make In India' campaign.

During the last three years, India received an average of USD 30 billion annual foreign direct investment. India needs huge investments to give a boost to its manufacturing sector and to create million of jobs.