GANDHINAGAR, India - In a soaring, unfinished conference hall in western India, thousands of businessmen and diplomats from around the world gathered recently for an investment meeting. They were there to pay homage to a politician for accomplishing something once thought almost impossible in India: making it easy to do business.

The politician, Narendra Modi, the chief minister of the state of Gujarat, sat onstage, stroking his close-cropped white beard, as executives from the United States, Canada, Japan and elsewhere showered him with praise.

Ron Somers, head of an American trade group, called him a progressive leader. Michael Kadoorie, a Hong Kong billionaire, enveloped him in a hug.

"I would encourage you all to invest here," Mr. Kadoorie, chairman of the Asian power company CLP Group, told the audience, "because it has been an even playing field for me."

The coastal state of Gujarat, famous as the birthplace of Mahatma Gandhi, has become an investment magnet. The state's gross domestic product is growing at an 11 percent annual rate - even faster than the overall growth rate for India, which despite its problems is zipping along at 9 percent clip.

And Mr. Modi receives - some would say claims - much of the credit. The year before he took office in 2001, Gujarat's economy shrank by 5 percent.

David Fuller's view India's problems of inflation and corruption have dominated the headlines recently, shaking investor confidence in the process. However I suspect this article on Marendra Modi and the state of Gujarat is more indicative of the long-term trend.