Indian Economy in a Dilemma

This refers to your pre-Budget special cover story ( Setting the Pace, February 12). The cover image depicting the elephantine predicament of the Indian economy was brilliant. It is clear that there are numerous threads to be urgently picked up to weave a tapestry of economic growth, affording welfare to the poor and the marginalised. The public awaits the coming Budget like a cat on a hot tin roof and by the time the next issue of BT is out, the cat will be out of the bag! It cannot be gainsaid that the budgetary formulations and prescriptions are being crafted for post-demonetisation period with the data of the pre-demonetisation stage and hence estimates will definitely fall short of demands of the pre-Budget expectations. The action agenda calls for completing unfinished reforms, reinvigorating banking services with high capital and lower risks and fulfilment of targeted disinvestment of PSEs to sustain the economy. The Reserve Bank of India, which was out of its depth during demonetisation, must substantially rise to the occasion to support the measures of the Centre in translating the budgetary plans into achievements. The Indian economy is being caught up in the coils of dreams and dilemmas, while the citizens are gasping for multiple fiscal reliefs, more disposable money and enhanced real income. However, the finance minister has to keep a weather eye on Indian economic affairs to continue to buck up growth bias. B. Rajasekaran, Bangalore