World over, the economic environment is getting tough and uncertain. The countries that show that they have their act together will have less pain and the countries that continue to dither will bring misery to their citizens.
In case of India, we have done enough in the recent past to scare away the investors - changed the tax laws retrospectively, cancelled the spectrum allocations in case of telecom, brought in General Anti Avoidance Rule (GAAR), announced opening up of retail and then put it on hold, not implemented uniform Goods and Services Tax, did not do anything concrete to bring the runaway subsidy bill under control, created ambiguity around allocation of coal blocks, allowed general corruption and red tape to have a field day. The list goes on and on.
I am sure there are a lot of good things happening too. However, the perception and the sentiment is negative and before you know it becomes reality.
If there is one thing that this government could do, just one, to start hacking away at the negative sentiments, then that would be to move Finance Ministry under Prime Minister Manmohan Singh.
Bump up the current finance minister - Pranab Mukherjee - to the President's office and make Prime Minister Manmohan Singh take additional charge of Finance.
Manmohan Singh is not known for his political astuteness, we have witnessed that, (or may be he is, that is why he became the Prime Minister, topic for another debate), however he is recognized for his hold on economics. He is respected for that. Why not send a signal to the world that we take our economy seriously and we show this concrete action to back our words!
Mr Prime Minister please do it!
In case of India, we have done enough in the recent past to scare away the investors - changed the tax laws retrospectively, cancelled the spectrum allocations in case of telecom, brought in General Anti Avoidance Rule (GAAR), announced opening up of retail and then put it on hold, not implemented uniform Goods and Services Tax, did not do anything concrete to bring the runaway subsidy bill under control, created ambiguity around allocation of coal blocks, allowed general corruption and red tape to have a field day. The list goes on and on.
I am sure there are a lot of good things happening too. However, the perception and the sentiment is negative and before you know it becomes reality.
If there is one thing that this government could do, just one, to start hacking away at the negative sentiments, then that would be to move Finance Ministry under Prime Minister Manmohan Singh.
Bump up the current finance minister - Pranab Mukherjee - to the President's office and make Prime Minister Manmohan Singh take additional charge of Finance.
Manmohan Singh is not known for his political astuteness, we have witnessed that, (or may be he is, that is why he became the Prime Minister, topic for another debate), however he is recognized for his hold on economics. He is respected for that. Why not send a signal to the world that we take our economy seriously and we show this concrete action to back our words!
Mr Prime Minister please do it!
Sir,then who will be the PM ? :)
ReplyDeleteManmohan Singh will stay as the PM, he will have additional charge of Finance.
ReplyDelete