Market
watchers fear that the election results have only weakened
the already weak government of the 24parties coalition led
by congress at the center. There is a substance in it: the
regional satraps are known to call shots of divergent nature,
while the challenges before the nation remained the same as
inherited by the congressled coalition two years back. So,
everyone is anxious that the election results should not become
an excuse for the leadership to shelve the "reforms".
In
fact, it is the best of the times for us to forge ahead. The
International Monetary Fund depicted a rosy economic scenario:
"Notwithstanding higher oil prices and natural disasters,
global growth has continued to exceed expectations, aided
by benign financial market conditions and continued accommodative
macroeconomic policies". It has forecast a global growth
rate of 4.9% for the current year. According to its latest
World Economic Outlook, the growth rate in India and China
is all set for 7.3% and 9.5% respectively. It further hopes
that "Cashrich companies will start investing, which
means governments could as well reduce their fiscal deficits."
This goodlooking economy simply asks for using it as a foundation
to build a better tomorrowof course, with appropriate reforms.
That
said, let us figure out how we are faring today. It is feared
that the government is not doing all that is required to structurally
transform our economy for achieving an "all inclusive"
sustained high growth rate. On the top of it, the coalition
partners are pulling the government in all directionsthat,
too, on "nonissues". For quite some time, it has
been the issue of "quotas" for admission into national
premier educational institutions that has "entrapped
(India) in the caste paradigm", as though for ever. |
