Word Bank reports on Indian Government Initiatives
The World Bank has applauded India’s effort in adopting a reform path that will make the country very attractive for foreign direct investment making India incredibly to carry out business with. As of 2015 India holds a rank of #134 in Distance to Frontier, which measures the gap between the global best practice and Indian best practice. According to the reports published by the World Bank on the Ease of Doing Business, India has improved by 1.34 % that is increase from 53.95% to 55.27%. As of 2017 in the report published by the World Bank it acknowledges India’s effort in the reform path as exciting and very ambitious. Additionally, the report also stated the Indian government has taken many initiatives to promote new businesses by easing the bureaucratic process for the young entrepreneurs. India has jumped 3 points forward from a position of 158 to 155.
Key initiates taken by the Modi Government
Indian government is inviting companies worldwide to set up manufacturing in India. India is promoting itself as the haven for startups. Since the beginning of 2014 Narendra Modi has opened the Make in India initiative to increase foreign direct investment and encourage innovation among Indians. It is encouraging multi-national companies and domestic companies to manufacture in India. This will facilitate skill building and job creation among Indians. Because of the initiative India has received many proposals and is poised to become an electronics manufacturing hub.
Also the Indian government has ushered in the era of Digital India. It aims to connect the remotest parts of the country with high-speed internet network. It has led to the burgeoning of Indian business online, where services are being delivered online. There is a rapid increase of consumption of news and entertainment online by the Indians. Digital literacy is being rapidly embraced by the Indians as well. This phenomenal increase in consumption rate of everything online is poised to put India on the global map, standing out among the developed countries with respect to growth.
What are the numbers telling
NASSCOM has published an industry report detailing India’s potential growth in the start-up sector, resulting in 2.2 times growth in the next 3 years. Due to the emergence of diverse fields such as data analytics, Edutech, artificial intelligence, B2B commerce, Healthtech and Fintech, there will be growth and interest in all these diverse field. India is on the leading edge of witnessing the growth in such diverse new businesses. Modi Government has declared two reforms namely the Goods and Serices Tax and Insolvency and Bankruptcy Code reform. The two reforms implemented by the Indian government were recommended by the world bank, and out of the many reforms these two are used to asses a country’s ranking. According to a press release issued by the government, Modi aims for India to rank within 50 nations in the near future with regards to implementing various reforms.