Sanjaya Baru, columnist and senior fellow at the Centre for Policy Research in New Delhi, has said it will be wrong to consider India as a single economic entity, in the case of which a uniform strategy can be adopted for inclusive growth.
Delivering a lecture on ‘reviving the Indian economy: problems and prospects’, organised by the State Planning Board here on Friday, he said due to historical reasons, the forces that drove the economy in different parts of the country were different. The foundation on which growth happened differed drastically from region to region. All industry leaders in the country wanted to have their presence in Gujarat, while they were all running away from West Bengal. It was not the policy at the Centre alone that spurred economic activity. He said that, in the current scenario, the nation was caught in a situation where, due to fiscal constraints, ensuring sufficient public investment to facilitate the 12th Plan annual growth target of above eight per cent had become difficult. The challenge was to find resources for public investment and, at the same time, roll out policy initiatives that would change the private investor sentiment. He said it would be very difficult for a government to build credibility after it had lost it. The Centre had set in motion a slew of policy initiatives over the past six months to get the economy on the path of accelerated growth.
Planning Board Vicep-Chairman K.M. Chandrasekhar presided.