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Economy of India: Currently

Currently, our economy is at the lower edge of the business cycle. It will have fallen to a (Moody's) forecasted growth rate of 5.8 per-cent in the fiscal year 2020. The Economy of India is currently trying to improve but remains under duress.
The incumbent BJP of India has delivered an influx of legislation upon the pressing issue. From the removal of 'angel' tax to the expedited refund of GST for MSMEs, the government has procured a slew of measures for averting a profound economic slowdown.
Lamentably, the government's political moguls seem not to pay much heed to the increasingly devastating problem. In their assemblies and discourses, they tend to bring about more populist ideologies in their manifestos rather than economic ones.  While the multitudes are affected by this intense situation, the publicly mandated government's regulation is proving slightly inefficient.
These laws seem to protect and conserve the uppermost one per-cent of the nation. India's income equality is deteriorating day by day. Due to the destruction of the credibility of the Reserve Bank of India, numerous foreign and domestic investors refuse to invest in India. As demand freefalls, the economy slows down to a halt. Since the resignations of RBI governors (succeeding demonetisation of 1000 and 500 rupee notes), the trustworthiness of the organisation has diminished. With the introduction of Goods and Services Tax (GST) in July 2017; investment in India has been a considerably expensive affair. Consolidated with the variegated interference by the government, India has turned into a less attractive investment destination.
Our government has been bailing out multiple publicly-owned corporations such as Air India and BSNL. Such colossal capital generation requires the government to provide adequate funds. Such amounts of capital are invested in loss-producing ventures. This leads to the deficiency of funds for enterprises with great potential. This investment is habitually used to discharge debts. In an economic slowdown, money must be deposited in an economy to generate demand. However, when this money is utilised in repaying financial obligations of public sector utilities, demand is not created.
With the mainstreaming of farmer loan waivers in Indian politics, crores of rupees are being proffered to banks in exchange. An article on the same shall be discussed soon.
We are countenanced with a presumably grave economic anomaly. The Indian government's populist and superficial measures shall not suffice the slide. It is an absolute necessity to prevent any further damage to the nation, weakened by demonetisation, GST and various external and internal threats. The government's abler advisors are requested to propose apt counterattacks to the numerous economic hurdles. India must regain its growth rate of 7.5 per-cent.

Comments

  1. Brilliant !!!
    Looking at you i feel there is still some hope. Keep it up.

    ReplyDelete

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