Programmes like Make in India have not benefited the economy - Economists tell KNN
Updated: Jan 13, 2016 02:38:48pm
New Delhi, Jan 13 (KNN) The micro, small and medium enterprises (MSME) sector needs incentives, cheaper credits and subsidies to grow, eminent economists told KNN reacting to the November IIP data which showed steep fall in the manufacturing sector growth.
The economists shared a common view that even the programmes like Make in India have failed to yield good results and have not benefited the economy.
Industrial production contracted by 3.2 per cent in November -- the lowest level in over four years -- due to poor performance of the manufacturing sector and a sharp decline in capital goods output.
This is the worst performance since October 2011, when IIP had contracted by 4.7 per cent.
Talking to KNN, Economist Akash Jindal said, “India as a country is not keeping pace, in terms of growth. There is a clear cut sign of weakening.”
He said, “The steep fall in the manufacturing sector growth is because both the export and domestic demand have fallen.”
“We are heading towards to recession,” said Jindal adding that the delays in key bills like GST and Land Bill are impacting the economy adversely.
He said that China’s economy is quite down but India is also not performing. “It’s a golden opportunity for India to take advantage of the global economic scenario and China’s slowdown.”
Jindal said there is a need for good regulation. “Government is running programmes like Make in India, but the benefits have not yet come.”
He said there is need to focus on the MSME sector which is the backbone of the economy. For this the sector needs incentives, cheaper credits and some subsidies.”
“The banks should give the loans to the MSMEs at the cheaper interest rates of 5 to 6 per cent,” he added.
Prasenjit Bose, the Left Activist and a renowned Economist, told KNN, “There is no recovery in the economy. Although the government is running programmes like Make in India but still no benefits are seen so far.”
Bose said, “There is global slowdown and exports are down. But it is the job of Government to intervene. They should cut down the fiscal deficit. There policy is completely wrong and the economy is going up and down,” he added. (KNN Bureau)
The economists shared a common view that even the programmes like Make in India have failed to yield good results and have not benefited the economy.
Industrial production contracted by 3.2 per cent in November -- the lowest level in over four years -- due to poor performance of the manufacturing sector and a sharp decline in capital goods output.
This is the worst performance since October 2011, when IIP had contracted by 4.7 per cent.
Talking to KNN, Economist Akash Jindal said, “India as a country is not keeping pace, in terms of growth. There is a clear cut sign of weakening.”
He said, “The steep fall in the manufacturing sector growth is because both the export and domestic demand have fallen.”
“We are heading towards to recession,” said Jindal adding that the delays in key bills like GST and Land Bill are impacting the economy adversely.
He said that China’s economy is quite down but India is also not performing. “It’s a golden opportunity for India to take advantage of the global economic scenario and China’s slowdown.”
Jindal said there is a need for good regulation. “Government is running programmes like Make in India, but the benefits have not yet come.”
He said there is need to focus on the MSME sector which is the backbone of the economy. For this the sector needs incentives, cheaper credits and some subsidies.”
“The banks should give the loans to the MSMEs at the cheaper interest rates of 5 to 6 per cent,” he added.
Prasenjit Bose, the Left Activist and a renowned Economist, told KNN, “There is no recovery in the economy. Although the government is running programmes like Make in India but still no benefits are seen so far.”
Bose said, “There is global slowdown and exports are down. But it is the job of Government to intervene. They should cut down the fiscal deficit. There policy is completely wrong and the economy is going up and down,” he added. (KNN Bureau)
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