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CHANGES IN ECONOMYDUE TO CHANGE IN THEGOVERNMENT

Sampath Iyer

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Outline 6 Important ini!ator"

#e$ initiati%e" o& the Go%ernmen

E'pe!tation" &or the &uture Sum(up)

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 THE SENSE* +,SE-./ IS A MA0OR STOC1 MAR1ET INDE* 2HICH TRAC1S THE3ER#ORMANCE O# -. MA0OR COM3ANIES 4ISTED ON THE ,OM,AY STOC1E*CHANGE) THE COM3ANIES ARE CHOSEN ,ASED ON THE 4I5UIDITY TRADING VO4UME AND INDUSTRY RE3RESENTATION) THE SENSE* IS A #REE(#4OAT MAR1ET CA3ITA4I7ATION(2EIGHTED INDE*) THE INDE* HAS A ,ASEVA4UE O# 8.. AS O# 89:;(:9) THIS 3AGE 3ROVIDES ( INDIA STOC1 MAR1ET+SENSE*/ ( ACTUA4 VA4UES HISTORICA4 DATA #ORECAST CHART

STATISTICS ECONOMIC CA4ENDAR AND NE2S) CONTENT #OR ( INDIA STOC1MAR1ET +SENSE*/ ( 2AS 4AST RE#RESHED ON SUNDAY NOVEM,ER 9 <.8=)

Inian Sto!> Mar>et

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The India Stock Market (SENSEX) increased to 27915.88 Index points in No278$5.8% Index points in &cto"er o# 2'1. Stock Market in India aeraed $

points #ro! 1979 *nti+ 2'1, reachin an a++ ti!e hih o# 27915.88 Index poo# 2'1 and a record +o- o# 11%.28 Index points in ece!"er o# 1979.

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Ma/or 0ct*a+ eek+ 3 Month+ 3 4ear

0*stra+iaS60SX2''

5,77.$' 2.87 3 %.'9 3 '.$7

rai+ &:ES60 52,%%'.'% ;'.2' 3 ;8.5% 3 ;.98

<anada S6TSX 1,$2.25 '.5% 3 ;2.$8 3 9.%7

<hinaSSE<&M6&SITE 2,29'.% ;2.1' 3 ;2. 3 7.%

E*ro 0reaE=>&ST&XX5'

%,'%$.15 1.9 3 ;5.7' 3 '.7

?rance <0<' ,112.$7 '.77 3 ;$.2 3 ;%.27

@er!an 0X 9,'$8.19 2.' 3 ;.5 3 1.''

India SENSEX 2$,752.9' '.$7 3 '.8 3 %'.'$

Ita+ ?TSEMI 19,7$.$1 2.2' 3 ;$.% 3 %.

Aapan NIBBEI225 15,%29.91 %.55 3 ;5.55 3 $.9

>*ssia MI<EX 1,%9.27 '.79 3 ;2.78 3 ;7.7$

=nited Bindo!

?TSE1'' $,'2.17 '.7 3 ;%.72 3 ;.81

=nited State&A&NES 1$,817.9 1.22 3 ;1.7% 3 8.'2

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IN INDIA THE ANNUA4 GRO2TH RATE IN GD3 AT #ACTOR COSTMEASURES THE CHANGE IN THE VA4UE O# THE GOODS AND SERVICES3RODUCED IN INDIA 2ITHOUT COUNTING GOVERNMENT?S

INVO4VEMENT) SIM34Y THE GD3 VA4UE E*C4UDES INDIRECT TA*ES+VAT/ 3AID TO THE GOVERNMENT AND INC4UDES THE ORIGINA4 VA4UEO# 3RODUCTS 2ITHOUT ACCOUNTING #OR GOVERNMENT SU,SIDIES)

Inian GD3 Annual Gro$th Rate)

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The @ross o!estic 6rod*ct (@6) in India expanded 5.7' percent in the 2'1 oer the sa!e C*arter o# the preio*s ear.

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IN INDIA THE CONSUMER 3RICE INDE* OR C3I MEASURES CHANGES IN THE 3RICES 3AID ,Y CONSUMERS #OR A ,AS1ET O# GOODS ANDSERVICES)

Inian Con"umer 3ri!e Ine')

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<ons*!er 6rice Index <6I in India re!ained *nchaned at 15 Index 6ointo# 2'1 #ro! 15 Index 6oints in 0**st o# 2'1.

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IN INDIA THE 2HO4ESA4E 3RICE INDE* +23I/ IS THE MAIN MEASURE O# IN#4ATION) THE 23I MEASURES THE 3RICE O# A RE3RESENTATIVE ,AS1ET O# 2HO4ESA4EGOODS) IN INDIA 2HO4ESA4E 3RICE INDE* IS DIVIDED INTO THREE GROU3S@3RIMARY ARTIC4ES +<.)8 3ERCENT O# TOTA4 2EIGHT/ #UE4 AND 3O2ER +8=)93ERCENT/ AND MANU#ACTURED 3RODUCTS +6 3ERCENT/) #OOD ARTIC4ES #ROM THE 3RIMARY ARTIC4ES GROU3 ACCOUNT #OR 8=)- 3ERCENT O# THE TOTA42EIGHT) THE MOST IM3ORTANT COM3ONENTS O# THE MANU#ACTURED 3RODUCTS

GROU3 ARE CHEMICA4S AND CHEMICA4 3RODUCTS +8< 3ERCENT O# THE TOTA42EIGHT/B ,ASIC META4S A44OYS AND META4 3RODUCTS +8.); 3ERCENT/BMACHINERY AND MACHINE TOO4S +;)9 3ERCENT/B TE*TI4ES +:)- 3ERCENT/ AND TRANS3ORT E5UI3MENT AND 3ARTS +)< 3ERCENT/)

Inian 2hole"ale 3ri!e Ine'

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6rod*cer 6rices in India decreased 2.%8 percent in Septe!"er o# 2'1 oe!onth in the preio*s ear.

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 THIS IS THE TOTA4 #OREIGN DIRECT INVESTMENT INTO COR3ORATES IN

INDIA)

Inian #orein Dire!t In%e"tment

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?orein irect Inest!ent in India decreased to 21%5 =S Mi++ion in 0**s%5$2 =S Mi++ion in A*+ o# 2'1. *t sho-ed a rea+ spike once e+ections -

and the ne- oern!ent took to oDce.

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IN INDIA THE ,USINESS CON#IDENCE INDE* +,CI/ IS ,ASED ON A SAM34E SI7EO# AROUND -.. COM3ANIES COVERING A44 INDUSTRY SECTORS INC4UDINGSMA44 MEDIUM AND 4ARGE ENTER3RISES #ROM DI##ERENT REGIONS) ,CI ISCA4CU4ATED AS A 2EIGHTED AVERAGE O# THE CURRENT SITUATION INDE*

+CSI/ AND THE E*3ECTATION INDE* +EI/ 2ITH GREATER 2EIGHT GIVEN TO EIAS COM3ARED TO CSI) THESE INDICES ARE ,ASED ON THREE 5UESTIONS ON

 THE 3ER#ORMANCE O# THE ECONOMY RES3ONDENT?S INDUSTRY AND

RES3ONDENT?S COM3ANY) RES3ONDENTS ARE AS1ED TO RATE THE CURRENTAND E*3ECTED 3ER#ORMANCE ON A SCA4E O# . TO 8..) A SCORE A,OVE .INDICATES 3OSITIVE CON#IDENCE 2HI4E A SCORE A,OVE : 2OU4D INDICATESTRONG 3OSITIVE CON#IDENCE)

Inian ,u"ine"" Conen!e Ine')

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*siness <ondence in India increased to 57.' in the third C*arter o# 2'1the second C*arter o# 2'1.

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INDIA IS 3OISED TO ,ECOME A < TRI44ION ECONOMY THIS YEAR 2HI4E ITS GD3 SI7E 2OU4D CROSS ANOTHER MI4ESTONE O# THREE TRI44ION A#TER #IVE YEARSIN <.89 ACCORDING TO IM#FS 4ATEST 2OR4D ECONOMIC OUT4OO1)

INDIAFS RAN1ING 2OU4D A4SO IM3ROVE TO SEVENTH 4ARGEST ECONOMY IN THE2OR4D SUR3ASSING RUSSIA ,RA7I4 AND ITA4Y 2HI4E MEASURED ON CURRENT3RICES ,ASIS IN US DO44AR IN <.89 #ROM ITS TENTH 3OSITION CURRENT4Y)

INDIA HAS RECOVERED #ROM ITS RE4ATIVE S4UM3B THAN1S IN 3ART TO E##ECTIVE 3O4ICIES

AND A RENE2A4 O# CON#IDENCE GRO2TH IS E*3ECTED ONCE AGAIN TO E*CEED #IVE 3ERCENT AS 3ER 4ATEST IM# 2OR4D ECONOMIC OUT4OO1 RE3ORT)

INDIAFS ECONOMIC GRO2TH 2AS ,E4O2 3ER CENT IN THE 3AST T2O #INANCIA4 YEARS)THE 3OST E4ECTION RECOVERY O# CON#IDENCE IN INDIA A4SO 3ROVIDES AN O33ORTUNITY#OR THAT COUNTRY TO EM,AR1 ON ITS MUCH(NEEDED STRUCTURA4 RE#ORMS ACCORDING TO IM# RE3ORT)

Inian IM# &ore!a"t

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4et" u" loo> at a &e$ initiati%e" ta>en y the ne$ Go%

Chane" in A3MC a!t)@ The Central Go%ernment ha" a%i"e all "tae o%t to elan &ruit" &rom the Ari!ulture 3rou!e Mar>etin Committee A!t)

 Thi" reu!e" the role o& milemen therey etter return" to the &armer" reu!t!on"umer" an pre%ent hoarin) All the"e "tep" a""i"t in !he!> in ination )

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 0"andonin the 6+annin <o!!issionF

E"tali"he in 89. the plannin !ommi""ion o& late $a" Ju"t in%ol%e in ma>in $ithout any teeth to implement it" e!i"ion") A ne$ oy $ith more teeth po$eri%er"ity an authority to implement i" in the oK"prin

 *rea*cracMinistriesF

Mini"ter" an ureau!rat" ha%e een a%i"e to report at 9 AM a thouht hitherto,ureau!rat" ha%e een a">e to &un!tion a" Ci%il Ser%ant" an not a" the G*een e!ocrac. Thi" i" the "inle mo"t "tep that $ill aKe!t Inia a" a $hole) I& imple

an "pirit thi" $ill remo%e ineL!ien!y an la!> o& $ill amon the poli!y ma>er" aimplementer")

3erioi! meetin" $ith 3M him"el& rin" !onen!e a!> to the"e ureau!rat" $ta>e e!i"ion" a&rai o& the &uture repul"ion")

M #i i l I l i 3l

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 Mea #inan!ial In!lu"ion 3lan" @

8) Streamlinin o& the appointment" o& the top ra"" o& an>" 

<) Aeuate pro%i"ion &or !apital in&u"ion o& the "tate o$ne an>") 

-) T$ea>in o& the ne$ ran!h li!en!e" o& !ommer!ial an>")

 =) Inia ha" - people $ith an> a!!ount aain"t ;: o& USA an 9

1eepinthi" in min a mea nan!ial in!lu"ion plan 0an Dhan YoJamaP $a" lau

"!heme  taret i" to rin :) !rore unan>e &amilie" into the an>in &ol y o8

!rore an>in a!!ount") 

 The"e a!!ount" $ith a uilt in !reit o& R" ...Q( an in"uran!e !o%er eit

!ar" $ill e u"e &or ire!t !reit o& "u"iy) Thi" plan $ill eliminate !orruption)

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De&en!e Se!tor @

8) De&en!e Cooperation Areement $ith USA e'tene y 8. year")<) #DI !ap rai"e to =9 -) In"tall" prie an !onen!e in army men an orer to$n !i%ilian")

=) 3enin e&en!e eal" !leare)) Hiher uetary allo!ation")

Enery Se!tor @

6) EKort" to impro%e the enery eneration in riht earne"t):) Deal $ith Au"tralia ha" een "tu!> &or !oal pur!ha"e);) Tal>" $ith 0apan &or Nu!lear Enery)9) Hyroele!tri! proJe!t areement $ith ,hutan)8.)The o%ernment ha" i%en it" reen "inal &or "ettin up nine tran"mi""ion pr

o%erall !o"t o& R" 8< illion in orer to uil inter("tate po$er tran"mi""ion li

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Hea+th Sector F

8) Allo!ation" &or nation$ie health "!heme)<) Namami Gane-) Cleanline"" ri%e

=) Toilet" in all %illae")) #a"ter appro%al" &or Va!!ine proJe!t")6) A%i"e !orporate" to uil toilet" uner CSR)

Make In IndiaF

 ThereF" no enyin that Inia a !ountry $ith eman emoraphi! i%ien" a

lain in 8-=th pla!e in the Ea"e o& oin u"ine"" Ine' i" a heartrea>in "!e8-=th in the ea"e o& oin u"ine"" ine') 2hat a reat mar>et o& opportunitie" e'traorinary eman" ut o%t) ma!hinery Ju"t onFt let anyone o their thin)Ma>e in Inia i" a poli!y that !omine" in!enti%e" $ith ea"y hanlin o& u"ine""re(re""al ma!hinery) Only ,u"ine"" NO hara""ment)

S>ill eno$ment an Jo !reation in < >ey inu"trie")Urin loal in%e"tor" to ma>e Inia an inu"trial hu)Rai"in #DI !ap" re tape !on"tri!te in e!i"ion ma>in)

2ill help in a!hie%in the taret o& 8.. "mart !itie" an aKorale hou"in "

isinest!entF

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isinest!entF

Di"in%e"tment i" "ellin a part o& a 3uli! Se!tor Unit to pri%ate player" either ue tla!> o& o%t) $ill to !ontinue or o%iou"ly to enerate re%enue)

It i" al"o to ma>e o%t) employee" &ree &or other ta">")

ONGC an Coal Inia 4imite ha%e re!ently een opene &or i"in%e"tment ue to iunerlyin !orruption an to rai"e more &un" an al"o to attra!t more pri%ate play

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4A2S @ The o%ernment ha" e!ie to repel more than :; la$" that ha%e eenin e'i"ten!e ) Certain A!t" li>e Companie" A!t ,R A!t et! are ein re%ie$e toremo%e !ertain "e!tion" etrimental &or ro$th)

0ric*+t*reF

Ne$ >no$(ho$ ha" to e tauht throuh o%ernment ma!hinery)

Vo!ational trainin ha" to e "tarte alon $ith ne$ ari!ultural uni%) an !ollee")

All the "!hool" an !ollee la" thro$n open &or ari!ultural e'periment" urin

the "ummer %a!ation")Raio roa!a"t tip" relate to ari!ulture)

Soil te"tin laoratorie" mu"t e ea"y to a!!e"") Al"o ea"y a!!e""iility to

ari!ultural e'pert" mu"t e en"ure)

Go%t) al"o plan" to "eparate the pro!urement "torae an i"triutionepartment" o& the #oo Corporation o& Inia to impro%e eL!ien!y an

pro!urement an i"triution pro!eure)

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Ski++ dee+op!ent ed*cationF

Openin ne$ IIT" IIM" AIIMS an other "tate &une !ollae"

an re"ear!h !enter" $ill prepare u" &or tomorro$ The youthmu"t not only ha%e a eree ut mu"t a %alue prou!in!apailitie" into them"el%e" an a $ealth to the nation)Eu!ation i" the only $ay &or$ar)

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o%ernment ha" !leare "e%en i(ti!>et in%e"tment proJe!t" $orth R" <8... !rore "ome een hel up &or e!ae" e!au"e o& hurle" ranin &rom en%ironmental i""ue" to nan!i

 The ole"t amon them $hi!h ha" een on the ra$in oar &or o%er -. year" i" a <- >rail$ay line that i" !riti!al to tap Chhatti"arhF" "e!on lare"t iron ore re"er%e" an en"urethe ,hilai Steel 3lant $ho"e !urrent iron ore "our!e" are e'pe!te to run out in a &e$ year"

A &e$ 3oint" to rememer @

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0. <orr*ptionI++icit+ack MoneF A SIT +Spe!ial In%e"tiation Team/ ha" een "et up uner the leaer"hiM, Shah to rin a!> the ..n +e"timate/ la!> money that ha" o$n out o& Inia "in!e

Nepotis!F The o%ernment ha" "ent a manate to all mini"ter" rearin appointment o& thmae it !lear that they !annot pi!> &amily memer" or relati%e") The appointment $oul e m

!ommon pool o& !aniate" $hi!h $ill e e!ie y the Department o& 3er"onnel TraininCommittee o& Cainet $hi!h i" part o& the 3MO)

. @oernance Speedier decision !akinF A&ter !on"oliatin a un!h o& mini"trie" to harne"" "ynerie" that !ru!ial e!i"ion" on "tratey an e'e!ution $ill re"t $ith the 3MO)

E;@oernanceF The en%ironment mini"try uner Mr) 3ra>a"h 0a%ae>ar ha" laun!he a "y"te"umi""ion o& appli!ation" &or en%ironment !learan!e) Thi" mo%e i" to en"ure tran"paren!y &a"ter e!i"ion ma>in)

0"o+ishin @oMs and E@oMsF Mr) 3M ha" aoli"he -. a!ti%e GoM" an EGoM"

GoM" an EGoM" are panel" !on"titute y the o%ernment to o%er"ee important e!i"ion" $them"el%e" $ere unale to "ort thin" out) Thi" i" a reunant le%el in the e!i"ion(ma>in hre"ulte in un$arrante elay" an a!>lo")

>*nnin the oern!ent +ike a corporate !achineF  The Central Go%ernme

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>*nnin the oern!ent +ike a corporate !achineF e Ce a Go e e3M i" tryin to in!orporate a F!orporateF !ulture in the o%ernment y in"tatin Emonth a$ar" on the a"i" o& per&orman!e)

G*a+it (IS& 9''1) certication #or the oern!entF The Inian o%ernmentryin to &orm the 2orlF" rst IS& 9''1 certied oern!ent)

Strate and 6o+ic

J1' ;point, 1'';daJ aendaF In an eKort to "pee up the e!i"ion ma>in pro!o& Fpoli!y(paraly"i"F &or $hi!h the U3A reime $a" "e%erely !riti!ie &or 3rime Mia">e hi" mini"ter" to prepare a li"t o& i""ue" that they $ill ta>e up in the r"t 8..$ith a &o!u" on eL!ien!y eli%ery "y"tem" an implementation) The 3M al"o ha"prioritie" $ith rear" to o%ernan!e)

0 co!p+ete+ ne- !inistr #or entrepreneurshipF #or the r"t time in the hi"Inepenent Inia a ne$ Mini"try o& Entrepreneur"hip ha" een !reate $hi!h $iprou!e more entrepreneur" an u"ine"" men in Inia) The mini"try $ill e heaSaraana Sono$al)

Go%ernment Intera!tion &or enain the population)@

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p p

U"e o& "o!ial meia to !ommuni!ate)

 Dire!t rea!hin the ma""e" throuh Raio)

My Go%ernment 2e"ite to in%o>in thouht"

4o!al So!ial Group" &or iea eneration

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 You

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 T

8) S

<) I

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=) Tl

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An

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