One of the factor that may not promote industrial development is

A.

Local firms entering into partnerships with foreign firms

B.

Granting capital to firms at reasonable interest rates

C.

Setting up industrial estates with modern amenities

D.

Granting old firms tax exemptions

Correct answer is D

The factor that may not promote industrial development is granting old firms tax exemptions.

Tax exemptions are a form of government subsidy that can be given to firms in order to promote economic development. However, they can also have the unintended consequence of discouraging innovation and efficiency.

This is because tax exemptions can make it easier for old firms to stay in business, even if they are not competitive. This can prevent new firms from entering the market, which can stifle innovation and economic growth.