India is being marketed as a middle-income country with 135 crore population widely referred to as ‘consumers’, and this makes it looks attractive. However, research based on the data makes me believe that the numbers are widely exaggerated.
Gadkari said the ban on the entry of corporates and private players in MSME sector has been lifted to pave way for the formation of 700 clusters in order to reduce dependence on imports as well as for job creation.
In the April monetary policy, the growth of Gross Domestic Product (GDP) for 2019-20 was projected at 7.2 per cent - in the range of 6.8-7.1 per cent for the first half of the fiscal, and 7.3-7.4 per cent for the second part, with risks evenly balanced.
The five-member Cabinet Committee on Investment and Growth includes Home Minister Amit Shah, Finance Minister Nirmala Sitharaman, Road Transport and Highways and of MSME Minister Nitin Gadkari and Railway Minister Piyush Goyal.
Finance Minister Nirmala Sitharaman has to seek solutions to macroeconomic concerns. But these need to be married with problems related to viable farm incomes, stress on the informal sector, largely small and medium businesses, and the struggles of the underprivileged.
Demonetisation and the subsequent introduction of Goods and Service Taxes (GST) were aimed at lifting Indian economy. But the government's vision has been counterproductive given the way international bodies are calculating India's economic growth
The surge is a two-year high and gives the government the device to parade an economic rebound before general elections next year. But aside the drum beat of praise one may well ask if the economy is really recharged?