India needs to develop its infrastructure more in right direction to attract more FDI in the country. The Asian Development Bank (ADB) president Haruhiko Kuroda has said that India should have more effervescent and diverse manufacturing base and should increase exports from the country to get a higher growth trajectory in coming days.
The Indian economy is, reportedly, growing at the second-fastest pace in the world with almost 9% GDP growth. Now, the Indian government and Corporate India should work to restructure the country’s economy to generate more job opportunities.
India should come forward with new plans and projects to tackle other problematic social issues. After that only, India would be able to make the high growth more comprehensive.
India, despite showing high growth rate, is not tackling well several issues of education, social development and health sectors. Disturbing gender gaps, large rural-urban differences and wide variation across states are still present as a big hurdle in the way of India’s overall growth.
Haruhiko Kuroda said:
India should spend more on health and education and should improve conditions in rural areas to reduce the gaps between rich and poor in the country.
For this, India needs to make major investments in these sectors to fight with these disparities present in society.
However, the government has launched a Rs $39 billion program, Bharat Nirman, for infrastructure development in rural areas. The plan would be helpful to generate productive farm and non-farm employment opportunities in rural India.
According to Kuroda, the current labour market regulations in India have also damaged the employment growth in the formal sector. The government of India should introduce more applicable market regulations that would be helpful in the employment generation in this sector.