Investments Not Translating To Employment Generation

India is now the world’s fourth-largest economy. It produced $9.4 trillion in goods and services in 2017.

- Aritra Mitra

But it has a long way to go to beat the top three, that is, China, with a production worth $23.1 trillion, the European Union with $19.9 trillion, and the United States with $17.4 trillion.

The government that was sworn in under the leadership of Narendra Modi on May 16, 2014, had promised a host of economic reforms that would integrate the Indian economy even more with the global economy. Boosting trade with foreign economies was a priority sector. As the country stands on the threshold of yet another general election, many economists are left wondering as to the actual extent of the ground that has been covered.

Jobless growth

Former Prime Minister, Dr. Manmohan Singh while addressing the convocation ceremony of the Delhi School of Management blamed the implementation of the Goods and Services Tax (GST) for damaging the vibrant small and unorganised sector in India. He stated, “The domestic challenges of our economy are daunting in their complexity and devastating in their impact on society. The grave agrarian crisis, the declining employment opportunities, the pervasive environmental degradation and above all the divisive forces at work are obvious.”