10 Ideas for a Better Economy in India by Real Economist: The Indian economy is reaching a state of recession. Some even go far as to say that we may face something more grave than the recession which is the depression. Indian GDP has contracted majorly hurting the Indian economy. India’s GDP crisis is impacting the country negatively. Our various sectors have slowed down and many have come to a near halt. The demands are slowing down, investments are cut and businesses still have the unnecessary interventions making business not so easy. A low earning and high expenditure is not a favorable situation for the country. This article is on various suggestions by Economists to improve Indian economic conditions.
10 Ideas for a Better Economy in India by Real Economist are as follows:
Here are the 10 Ideas for a Better Economy in India given out by Top Indian economists. These are the suggestions to pick back up our sharply declining GDP, which may fall even more by the end of this year. Hopefully, if attention is paid and take notice of these prominent figures has to say in the topic of Indian GDP’s current status as well as their ideas.
V Anantha Nageswaran, PMEAC Nageswaran’s
1. His first advice was to eliminate the income tax assessments and mostly pay attention to the current mechanism. This followed by Tax deduction at source (TDS) and tax payments such as advance tax payment. Most of the direct tax comes to form voluntary compliance which would be enough. Eliminating the Income-tax assessment could ease the pressure from the public. The businessmen and ease their entry to various sectors as well as communicate to the public that the business is now easier and with fewer interventions. Also according to Nageswaran, a three-month timeline should be committed to reviewing macroeconomic data.
2. Another idea form V Anantha Nageswaran is to appoint a “crack team”. This team would comprise experts in different areas and sectors. Along with that, the crack team would report to the cabinet committee regarding various economic affairs. The team would help in forming efficient and important regulations and decisions. For the current ongoing term, India needs to dislocate in global value chains. There should be seeking out which of the states can implement these ideas. Nageswaran further added that the state chief ministers should come together to build a consensus that is on time-bound, monitorable, and deliverable.
Pronab Sen, India Growth Centre Sen, India’s former chief statistician,
3. Expressed his ideas for getting the derailing Indian economy back on its track and the impact on India and its digressing economy. According to him, India’s economy will further contract until the end of the year 2020. He says can regain its balance but only with a lot of actions and efforts. His idea was to eliminate the recent order of restriction put on funding on projects and investments.
4. According to Pranab Sen, attention should be put on the projects which include road building, house creations in the rural area, and start to spend on them. Some of these projects are pre-approved hence starting off in the direction of theses projects would be easy. Ministries have already set up plans and programs and got approvals on many. Hence it is only valid to get these projects started.
5. Another Idea for the betterment of the economy comes from Pronab Sen, Former Chief Statistician. A program needs to be set up solely committing to improve and upgrade all the health institutes and centers which are present all across the country. This should latter be followed by the mission of renewing the urban areas. Since a lot of migrants workers have left for their hometowns, there is currently less stress on the urban areas and centers. The urban infrastructure can be build up to a major extent. Furthermore, there is a need to increase the budgeting of all these projects and programs.
Ananth Narayan, SPJIMR Narayan
6. He says to first comprehend that there is no real idea of how long the crisis will go on for. Hence there should be prepared to provide assistance and relief to the small businesses and other sectors and not worry much about the fiscal deficit. Along with providing people with relief and resources, there is on the sides need to come up with a plan. A plan to moderately make an economic comeback from the almost ruins. The financial sector needs to be the focus of the plan. The crisis elicits the fact that there is not enough to fund the country in times of economic derails like this one. Hence a permanent solution needs to set up and set other improvement-oriented reforms.
7. Other sectors along with financial sectors such as power, real estate, airlines must be the main focus. Collect the expects and come together to improve these sectors to tackle our economic drop. Further creation of more job opportunities should have more attention. Also increasing the ease of doing business by eliminating any unnecessary intervention the businesses.
Rathin Roy, NIPFP Roy.
8. According to him, communication with the public of India would be the necessary first step toward the direction of improving India’s GDP. All the spending which needs to be done and what will be the next step should be known to the public. As he calls it a three-year spending battle plan. Discussing the spending beforehand by a consensus.
9. Moreover, other ideas come from Rathin Roy, According to him, the second step should be to set up a carefully calculated time table of funding, spending, and investments. Also, the known information that around Rs 1-1.5 lakh crore is sitting under the central, state, and local governments altogether. Mobilizing this money and devise the plan of investing it along with raising enough money. Committing Funding according to the plan of spending. A slum-free India should also be the focus on this spending plan and strategies.
10. On Friday the Economic Survey reported that for India to recover its lost GDP and once again become the strong economy it once was, rely on it to focus on urgently strengthening the different sectors of its economy. According to the survey, various measures which could work in the favor of the country are as following: (i) Encouraging new entrants into the market, easing their entry and alleviating some of the market barriers, increase the fairness of the game which will motivate new investments into the business. (ii) Removing any rules, regulations, and policies which only intervening and prove to be unnecessary for the investors and different businesses. (iii) More creation of job opportunities (iv) Improvement in the banking sector so that it is proportionate to the Indian economy.