India is 1/6th of the global population due to this India is viewed as the biggest global market, which needs to change. To increase the global market share the country needs to improve the export business. Over 48% of the total GDP is dependent on export, India has a good export for agricultural commodities, minerals, raw materials, etc. but other fields need drastic improvement to take the electronics industry, for example, Indian imported approximately 4 trillion rupees only on electronics that’s about 11% of the total import. The import for electronic goods has been the most in the year 2019 cooperatively.
Due to recent events, the GDP of India has dropped by 5% approximately. To improve this the country needs more revenue, as India is a developing country majority of its revenues relay on Micro Small and Medium Enterprises (MSME). This will also help in the betterment of the manufacturing of Indian products which as stated earlier will be very beneficial to the economy. Supporting the domestic sectors, make in India movement, and the boost to MSME will have a positive influence and help the economy drastically.
Where there is urbanization, there is growth. This could be the single linchpin for the economy of India, today India has 68.84% of the rural area if India heads towards urbanization imagine the growth, there will be job openings, investment, real estate will get a huge push, overpopulation in the urban areas will reduce, the better quality of life, better education, etc. these all will contribute to economic growth.
Recycle Rebuild Reinvest, these are the three main pillars of achieving a sustainable economy, Recycling is an essential part of sustainable material management (SMM), which helps in reduced wastage of natural resources which then can be used for export which in turn benefits the economy. Rebuild, as stated earlier rebuilding gives rise to urbanization, which is very important for the economy. Reinvestment is a way to increase the value of a stock, mutual fund, or exchange-traded fund (ETF) investment substantially over time. It is helpful when an investor uses proceeds given from the ownership of an investment to buy more shares of the same investment. This helps the stock market to rise which is very beneficial to the economy.
Banks play a huge role in the growth of the economy by encouraging the people to deposit their savings and mobilizing those saved funds to increase the aggregate rate of investment, banks also help in creating deposits or credit which then used as money throughout the country.
The math is simple the more the public buys Indian products more revenue is generated which will increase the economy. If the public buys foreign products, first India has to import those products, the import is not good for the economy. According to reports India exports around 7500 commodities to approximately 190 countries worth around 318 billion USD and imported around 6000 commodities from approximately 140 countries worth around 462 billion USD. This gap is due to the inequality of the Indian Rupee and the US Dollar. As Prime Minister, Mr. Narendra Modi says we need to become self-independent this will help our economy to grow substantially.
India has taken a lead in dealing with the pandemic by going through a nationwide lockdown on 25 March 2020. Due to this implementation, there has been a huge impact on the day-to-day business so much so that the companies have to furlough their staff for the specific period of the lockdown. Reports say that the Retail, Travel, and Hospitality have been hit the hardest. According to Miriam Webster furlough — “a temporary leave from work that is not paid and is often for a set period of time,” This is a major issue as the employees aren’t paid for that amount of time and their families depend on them to run their homes. The government should help the private companies to pay their furloughed staff.