"I think it (putting on hold divestment process) is not a good signal because, as you know, Ratan Tata and the Investment Commission team have said we need large investments in the country and that a part of it certainly will have to come from outside," Murthy told PTI in an interview.
"If that has to come from outside, we have to send signals that will not slow down that investment," said Murthy, who is retiring from Infosys, the company he founded and nurtured for 25 years, on August 20 when he turns 60.
The company had on Wednesday announced that Murthy would serve as the non-executive chairman of the board and chief mentor of Infosys with effect from August 21.
"But actions like saying that we will stop divestment etc...they are bound to create confusion in the marketplace," the software icon said.
"So, I hope our political leaders understand this and ensure that they do not decelerate the investment."
The Manmohan Singh government earlier this month decided to keep all divestment decisions and proposals on hold, pending further review, following representations from some of the constituents and allies of the UPA about the process of divestment in some public sector undertakings and taking into account their concerns.
In a coalition government, there are multiple points of view and ideologies that come together, Murthy said.
At the end of the day, all the parties (constituents and allies) must realise that the only way to solve the problem of poverty in India is by creating jobs.
"And if you want to create jobs, you have to encourage entrepreneurship and if you want to encourage entrepreneurship, you need to create many, many opportunities in multiple areas. And that requires that we have very good infrastructure and large investments from India and outside India," he added.
Murthy said it is possible for coalition governments to accept that the basic problems of infrastructure and encouraging investments have to be tackled.
"I can't see why any coalition government should have any different view on that".
