E COSHASTRA ! ! now
are
the
first
! dismiss
to
our
the path of high growth. Perhaps not. It
economy.
is one thing to have a young population
Compounding the issue are problems
but it is another to have a young,
such as the ever-increasing chasm in
trained population. The need of the
our
hour is widespread education and that
current
industrial
account
production
deficit.
a
too quality education. An environment,
standstill and our reliance on imports
which is favorable for investment in the
growing, this gap has been growing ever
domestic industry, needs to be created.
wider. Our insatiable desire for gold is
There are issues such as access to land
leading us down a dangerous path and
and
the government is trying hard to curb
causing
this
not
industries. Policy measures to address
helping matters either. Since the time he
these pressing issues are needed. We
announced that the US would cut back
have been found wanting in areas such
on
as investment in infrastructure and the
demand.
Ben
quantitative
coming
With to
Bernanke
easing,
the
is
Indian
natural
resources,
major
which
holdups
in
are
various
rupee has been in free-fall with the RBI
speed
having to intervene to arrest its fall.
decisions are being taken. A lot needs to
Another contentious point is the populist
be done to improve in this regard. It is
reforms,
time
which
the
government
is
with
for
which
our
administrative
government,
and
for
implementing in the run up to election
whichever
year. While it may have good intentions
power, to take hard decisions. Fiscal
there are several structural issues, which
consolidation will only be achieved if
suggest that, it may be severely flawed.
the government is ready to take a hard
The
stance.
Indian
growth
story,
which
government
comes
into
promised so much, has seemingly lost
In summary, all is not lost. There are
the plot. All hope is not lost however.
strong indicators, which show that we
There
can
exist
deeply
rooted
structural
bounce
back
from
our
present
drivers of economic growth. We are a
predicament.
young nation. The average age of our
strengths. The country is in need of a
citizens is a lot lower than many of the
policy
developed
economic considerations and is investor
nations.
The
disposable
income of the Indian citizen has been growing. This coupled with the vast domestic market has propelled India’s growth even during the global recession period.
The
levels
of
poverty
have
significantly improved and economic benefits have been felt even at the base of the social pyramid. The question that remains is whether these factors are sufficient to bring the country back on
We
agenda,
friendly.
need which
to is
back based
our on