India’s good days are not quite here yet

Have the much promised good days arrived for India’s economy? The answer, surprisingly, is in the negative. Some economic experts point to India’s gross domestic product (GDP) growth rate posted early this year as having surpassed China’s. Other experts say this is merely because the Narendra Modi-government chose to reinvent GDP calculations by ignoring classical macro-economic indicators to suit its purpose.

While this may well be a problem too, the larger reality is that despite the pink promises made by Modi when he came to power, more than a year on, India has yet to see its sorely needed economic reforms acquire the urgency they deserve. Then there is the matter of international investor confidence in India.

Modi’s high-profile foreign jaunts, whether to the United States, Australia, China or Japan, have always been based-lined on the imminent flood of international investments to follow but at the promised fast-track single-window clearance counter, the queue is a straggling one indeed.

Whether it is his ‘Make in India’ grand platform or the recent Digital India dream, Modi’s vision for the country seems to be missing the forest for the trees. He needs to acknowledge that in order to realise his dreams, he must first confront the demons — lack of infrastructure and skill sets, education, funding for micro economic growth in all sectors and deficient employment rates.

International economic watchdogs believe India’s implementation speed is not up to scratch. Modi would do well to trust their judgement.