The probability of growth in the economy and employment is very low


India has shown little interest in investing in physical and human infrastructure compared to the economies of the developing country.

The pattern of global recession is getting the same for developing and developing countries. And this is not a Lehman type meltdown of any. Due to which the policy of monetary policy is on the agenda of all understanding countries. Every country is recommending a deduction in interest rate. The global recession is not limited to any single sector and hence, it has adopted a strategy to reduce interest rates to minimize its overall effects, so that the cost of borrowing can be reduced. But this is not the last and only solution. These are the visible and hidden dangers.

So that most intermediary banks are not in favor of reducing the hassle of interest. Leading economists who retired from the RBI last year also opposed the proposal to lower interest rates.

And the chair had to be lost in the sum. If he had followed his advice and had not made a decision on the halting GST and blockchain earlier, the problem of reviving the rate of growth would have been slightly softened. It is not that the train of development would run smoothly, but in the present case the economy is in a state of disrepair.

Well, these decisions were also made by the government today. There have been claims that a number of steps have been taken to ease and relax the financial situation in the country. Bankruptcies reform, banks' recapitalization, corporate tax deductions and jumps in the rankings of the Doing Business have been praised. At home and on the global stage. But despite this the apparent improvement in the situation does not work. On the contrary, Chinta is convinced that some of these so-called and some genuine reforms are not capable of driving the Indian economy.

Some classes are demanding more financial support. The study of the economics of some countries provides strong evidence that private investment is also suppressed automatically when there has been continued growth in public investment. Compared to the economies of other developing countries, India has shown little interest in investing in physical and human infrastructure. India has invested in this direction as negligible compared to China. Only by raising this investment will the country's economy accelerate, creating ten million new jobs. Otherwise not.

Most jobs are created through new companies and new jobs. At the fingertips, the labor structure of the companies already doing business is changing and so on. But the atmosphere in the country is so steep that no new business or new company is willing to open.

How can one invest money to invest in an environment where the implicit GST and overnight notation are applicable? After the way the one-time giant companies in the country went into the fundraising, which has left the banks confused, the economic climate has worsened so that the debt-ridden banks are scared. In 8th, the debt size against the country's GDP figures was 5%. That is half the number less than China.

The fact that the size of the debt on the country increases due to economic stimulus does not sink into the debt crisis. These measures remain an asset for the country and raise assets if sensible action is taken. Of course, there have been instances in which the country has failed to repay the borrowed money and become the defaulter. As a result, some of the fruits of development are often washed away. But this happens when economic stimulus decisions are taken not for the sake of the country but for the sake of personal interest. Or accidentally.

In fact, the central government should increase investment in the physical infrastructure of the country according to experts' advice. One thing to note here is that infrastructure is not meant to be limited to bullet trains here. According to an independent estimate, the physical infrastructure in the country is worth billions of dollars a day.

In rural areas, this figure is even larger. Where the country is home to about 8% of the population. Depending on the sector, the lowest amount is invested in the transport sector. Then there are areas like power, water and sanitation and telecommunications.

Yet if the fields like health and education were added to this list, this period would double. As important as any other physical infrastructure, these two areas and their focus must be given sufficient attention.

There is no significant increase in the amount of lending or credit available for the poor development of economic stimulus. Innovations have to be introduced in the Torrezza of finance. In the past, the public sector banks and NBFCs have met the maximum requirements for infrastructure finance. In the future, India will have to look into the global market for this credit.

But in the current environment, such an idea can not be done. The situation in the country has deteriorated to such an extent, the state of power and telecommunications is so small that it cannot be imagined that Indian companies will get financing from the global market.

The central government should improve the situation without wasting any time. It is worth mentioning that infrastructure finance is long-term and global institutional investors and pension funds play an important role in this. These institutions can play a vital role in the needs of the country. But they should be guaranteed that they will give money back. Will these investors be ready to invest in the country's infrastructure plans as billions of country's banks turn into badlons? Given the current Indian conditions and government policies, the answer is no.

Comments