India

No AccessCountry Studies1 Feb 2013IndiaFive Years of Stabilization and Reform and the Challenges AheadAuthors/Editors: Zoubida AllaouaZoubida Allaouahttps://doi.org/10.1596/0-8213-3838-2SectionsAboutPDF (2.3 MB) ToolsAdd to favoritesDownload CitationsTrack Citations ShareFacebookTwitterLinked In Abstract:This Country Economic Memorandum analyzes the past five years of economic stabilization and reform in India, and outlines the challenges that lie ahead. It focuses first on how India has fundamentally altered its development strategy, and lists highlights in terms of stabilization and structural reform. It also presents important features of the 1996-97 budget. In addressing future challenges, the report examines fiscal and structural constraints, and, finally, financing requirements. It identifies the challenges facing India, such as: (i) reducing the country ' s chronically high fiscal deficits; (ii) further liberalizing the economy (agriculture in particular); (iii) meeting the infrastructure challenge; and (iv) ensuring social justice. The report states that fiscal imbalances remain the most important threat to India's long term growth, and that even after significant trade reforms, India's tariff and non-tariff barriers remain among the world's highest. Overregulation remains a problem in important private segments of the economy, namely the financial sector, agriculture, and agro-industry. In the financial sector, the public sector continues to be the major shareholder of India's largest banks, insurance companies, and contractual savings institutions. Finally, the development of India's human resources has been slow in comparison with countries in East Asia or Eastern Europe. The World Bank advises the participants of the Indian Development Forum to support India's ongoing fiscal adjustment and structural reforms through long-term official development assistance for high priority public investments in physical infrastructure and human capital development. This memorandum concludes that with sustained improvements in the utilization of such aid commitments and gradual recourse to debt and non-debt commercial sources, India's remaining external financing needs should be met. Previous bookNext book FiguresreferencesRecommendeddetailsCited byThe Hindu rate of reform: Privatisation under the BJP—still waiting for that bada kadamSouth Asia: Journal of South Asian Studies, Vol.25, No.3 View Published: December 1996ISBN: 978-0-8213-3838-4 Copyright & Permissions Related RegionsSouth AsiaRelated CountriesIndiaRelated TopicsFinance and Financial Sector DevelopmentMacroeconomics and Economic GrowthPrivate Sector Development KeywordsECONOMIC CRISISECONOMIC GROWTHFISCAL POLICYECONOMIC REFORMTAX REFORMSAGRICULTURAL DEVELOPMENTPUBLIC EXPENDITURESFOREIGN TRADEDOMESTIC TRADETRADE REGULATIONPRIVATE INVESTMENTSINFRASTRUCTUREEXPORT DEVELOPMENTDENATIONALIZATIONPUBLIC INVESTMENTSHUMAN RESOURCES DEVELOPMENTSTRUCTURAL ADJUSTMENTPOVERTY MITIGATIONCAPITAL MARKETCAPITAL MARKET DEVELOPMENTCURRENCYECONOMIC DEVELOPMENTEXPENDITUREINFLATIONINTERNATIONAL BANKPRIVATE INVESTMENTRURAL CREDITTAX PDF DownloadLoading ...