- The NITI Aayog has unveiled a strategy document called the “Strategy for New [email protected]” suggesting various reforms to make India a 4-trillion dollar economy by 2022-23.
- The strategy plan talks about various several economic reforms that should be taken in order to accelerate India’s economy to reach the 4 trillion USD mark.
- The main idea is to go for such reforms in the economy that will keep India growing at 8% annually that could be quicken to 9-10% by 2022-23 but ensuring that such growth of economy is clean, inclusive, formalised and sustainable.
Reforms suggested in the report are
- Major infrastructure projects such as Bharatmala Pariyojana and roads-construction in the north-eastern region should be completed.
- All of the 250,000 gram panchayats should be digitally connected by 2019 through the Bharat Net programme. The government services should be delivered digitally to all the gram panchayats by 2022-23.
- Using idle land for productive use that is available with government companies.
- The document suggests increasing the share of taxes in the national income from current 17% to 22%.
- The report calls for the inclusion of fuel and electricity within the ambit of goods and services tax (GST).
- Airports and the key railway assets such as freight terminals, engines, rolling stock should be privatised as per the strategy.
- Power for All and a pucca house for every family has to be ensured.
It advises the government to divest its stake and exit non-strategic sectors, thereby adding to the exchequer.
- FDI limits should be liberalised across all industries and foreign investments in government securities should be encouraged. Easing up of rupee bond limits is another suggestion in the document.
- There is a need to revamp the existing Mineral exploration policy. The document also calls for the need of a regulator in the Mineral Exploration sector.
Goods and services exports have to be doubled from $478 billion in FY18 to to $800 billion by FY23.
The central and state government should work on improving the business environment and relaxing of land and labour rules.
The investment rate should be boosted from 29% of GDP in FY18 to 36% by FY23 as per the NITI Aayog.
As per NITI Aayog, the reforms as suggested in the document, if implemented, would put the boost the economy, reduce poverty and improve the quality of life.