By Vipin Agnihotri
The socio-economic problem of India is well affecting the business climate of India at global forums too. It is worth mentioning in this regard that this year, India slipped to 48th position in the World Economic Forum’s Global Competitiveness Index and to 31st position in Business Competitiveness Index.
Point to be noted here is that these rankings are largely affected by the socio-economic parameters such as sustainable national prosperity and the political and social context of the nation. Sustainable national prosperity is calculated by taking into account the per capita GDP.
In my opinion, intensive usage of technology, its generation and the incidence of technology transfer to India is worth appreciating but the penetration and implementation of the latest technologies are still quite low when you compare it with international standards.
No one will argue with the fact that this low penetration had led to low levels of per capita income, which eventually degrade India’s rank at the global forum. Apart from that, Indian government had failed drastically in minimizing the public sector deficit. By the way, public sector deficit of India is one of the highest in the world. In addition, there is corruption in infrastructural development.
According to experts, poor infrastructure, erratic power supply, inefficient bureaucracy, corruption, tax regulations and bad roads are major hurdles for upcoming entrepreneurs and also demotivate them in starting their business units. The pivotal factor here is that these rankings not only degrades India’s image at global business forums but also abstain new entrepreneurial start-ups.
All in all, one can safely say that development of India cannot fructify on discreet policies, but actually on a centralized policies covering both social and economical aspects. After all, without society can business thrive?
Suggested Reading:
0 comments:
Post a Comment