Sunday, January 24, 2010

Reinventing the Growth in India

The other day I attended a talk by an economist. He discussed at length the past, present and future of Indian economy. He was of the view that the economic growth of India can be meaningful only if its benefits reach the common man.

Unfortunately this is not what is happening. Wealth is accumulating with a handful of Indians and few Indians are prospering. The overall state of Indian economy is pathetic and future not very bright as income generation is not out of productive activities and common man’s participation in economic growth is negligible due to poor infrastructure.

This, in addition to various other factors, is primarily because of the fact that the policy makers have lost connection with the masses. They no longer belong to the masses. Majority of the Parliamentarians today are multi-millionaires who have no concern for the problems of the common man, the requirements of the farm sector and the importance of infrastructure in all parts of the country. The economic growth of a country can be independent of the global economic scenario only if it is inclusive. This alone can generate sufficient local demand which will keep the wheel of growth moving. With the size of population that our country has, this may not be a big problem if the people at large have money.

India undoubtedly possesses talent and skills matching the best in the world. But its reach, again, is limited. Limited to metros and big cities. Limited to certain pockets of wealth generation. Limited to areas where conveniences and amenities are available. While, with globalisation, competitive spirit and skills have improved, the divide between haves and have-nots has also widened. While, with newer means of communication, awareness of what is happening thousands of miles away has improved, we have no clue about what transpires a few kilometres from our homes.

Just a few years ago, we used to wonder if we would ever have educationally qualified people as our policy makers. We do have such people in authority today. Majority of our policy makers today are educationally qualified and many amongst them are technologically sound too.

Our opinion makers too are no longer backward. People have started valuing qualification more than mere experience.

Business leaders have started getting the respect of nation’s leadership – at least if press is to be believed.

The dream of reinventing India seems to be coming true insofar as changing the composition of leadership is concerned.

But have the things improved for the masses? Who cares?

True, with a few business houses minting money, the salaries in corporate sector have sky rocketed during the last few years. With both public and private sector insisting on lean and hungry staff size and shedding weight, there are fewer job opportunities in organised sector. Who cares about those working in the unorganised sector?

With technological advancement, even a child in a metro is aware of the models of latest cars available worldwide. Who cares about the transportation between a village and a small town?

With media glorifying fashion and Hollywood, every college-goer today discusses the popular ‘bands’ the world over. Who cares about the dying folk dances and folk music?

Who cares to think and spread the message that protecting our culture is not an orthodox view but our lifeline? It is still the backbone of our economy? You can even earn foreign exchange by promoting your culture. The deficit of foreign trade which is increasing every year can be reduced or even turned around if we promote our culture, our traditions.

It reminds me of an interesting incident narrated to me by a friend of mine just a few days ago. He took a cousin of his, aged 31 years, born and brought up at a metropolitan city to country side. When he happened to show her a plant of wheat, she exclaimed, ”Do we get wheat like this!” He asked her, how she thought wheat grew, she innocently said, “I never thought about it!”

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