Monday, November 24, 2008

Hope in the horizon, obstacles in the vicinity (Part II)

Thus in true sense, amongst the drivers of the economy, it is the service sector which is getting all the growth for India. India is woefully short of adequacy in manufacturing and agricultural sectors. This is not a revelation but an accepted truth across the nation.By and large this has been because basics such as healthcare, drinking water and infrastructure has not been distributed equally and in overall terms are in-adequate.

Thus the state and central governments need to prioritize on building roads, providing safe water and health care, meeting the power needs of the country, work on irrigation projects for year round water supply to farms and bring business revenues under the tax net.

India has had a political record where good governance and populist measures have not gone hand in hand. It is time to realise that Good governance translates to longer terms at offices if you are working right and working at the basics. Else the divide between the elite class in the cosmopolitan (India 1) and the masses (India 2) will keep increasing. An India 1 and India 2 story is amusing but dangerous in its long term effects where there will be constant constraints at growth and we will not be able to realise the full potential of India. It also risks a civil unrest. Getting these two Indias together will fire the growth engine. That would ultimately take India to its glory story 10-15 years in the future.

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