The economy crisis is bothering not just the industries but the government too. PM Narendra Modi led BJP government in New Delhi is doing all that is needed to revive the economy but the measures are not adequate. Credited for bringing unprecedented reforms in the early 1990s, former Prime Minister and economist Manmohan Singh has proposed five points to turn around the slowing down economy.
The first among Manmohan’s list is Good and Service Tax (GST). He opined that this tax system is introduced in a faulty manner and it should be rationalised even if the government faces losses. Manmohan said the loss of revenue will be a short term.
Then the ex-PM asked the centre to focus on the agriculture sector. This year the country has witnessed good rains and so agriculture sector should diversify its market. Manmohan said Congress party manifesto has inputs for farming sector. Well, the BJP government will definitely not consider this point without any doubt.
The third is about the creation of jobs. Manmohan proposed that the government should take initiative of creating jobs in the fields of textile, auto and electronics. The fourth is addressing the liquidity crisis and also the banks should ease rules for home loans.
Manmohan also observed that the US and China trade war is impacting India and so the country should look for new markets for exports. If these things are addressed, there are high chances of economy picking up probably in the next six months to one year.
In a fresh statement, International Monetary Fund (IMF) said India’s economic growth is “much weaker” than expected due to corporate and environmental regulatory.
