Since 2014 central and state governments are propagating that India is growing at a rate of 7-7.5% annually. Does this include employment generation and small scale industries as well. lets analyse it in this perspective and come to a conclusion of this government's report card.
Before demonetization there were lots of small scale units in India who were having a fare amount of business and generating sufficient employment which is now rare with this current government policies. Industries like selling goods in retail market through distribution channel, production of indigenous goods and selling raw materials to second hand producers of different goods and products and production as well.
After demonetization the circulatory money of routine nature in market was socked up by the banks and were distributed in limited capacity. This circulatory money was generating capital investment for small scale units in India. Government soaked up this money through banks and invested it in other means of infrastructural developments. This circulatory money was the backbone of small scale business unites in India and through demonetization government destroyed it.
Immediately after demonetization government brought the GST which has lots of regulatory complication which is hard for small scale business units in India to sustain. Government destroyed one more time the small scale industry in India. Any perks which could have been given to these small scale business units came from banks through other channels like Mudra Yojna etc. These schemes which were not popular among the business community could not speed up the process of opening new business entities in India as well.
Now the central government is in a locked situation where to invest and how much to generate employment as it's plan to bring large scale investment in India through big business units failed completely. But as it destroyed the small scale production units in India through different policies one after another it has no way out to generate employment in large number except investing in infrastructural development.
The BJP government of Mr. Vajpayee did something similar in its term as well. Now it's pretty much sure on business platform this government has failed completely and in future will do nothing at all to sustain the market except investing in infrastructural development.
:siddharth
Before demonetization there were lots of small scale units in India who were having a fare amount of business and generating sufficient employment which is now rare with this current government policies. Industries like selling goods in retail market through distribution channel, production of indigenous goods and selling raw materials to second hand producers of different goods and products and production as well.
After demonetization the circulatory money of routine nature in market was socked up by the banks and were distributed in limited capacity. This circulatory money was generating capital investment for small scale units in India. Government soaked up this money through banks and invested it in other means of infrastructural developments. This circulatory money was the backbone of small scale business unites in India and through demonetization government destroyed it.
Immediately after demonetization government brought the GST which has lots of regulatory complication which is hard for small scale business units in India to sustain. Government destroyed one more time the small scale industry in India. Any perks which could have been given to these small scale business units came from banks through other channels like Mudra Yojna etc. These schemes which were not popular among the business community could not speed up the process of opening new business entities in India as well.
Now the central government is in a locked situation where to invest and how much to generate employment as it's plan to bring large scale investment in India through big business units failed completely. But as it destroyed the small scale production units in India through different policies one after another it has no way out to generate employment in large number except investing in infrastructural development.
The BJP government of Mr. Vajpayee did something similar in its term as well. Now it's pretty much sure on business platform this government has failed completely and in future will do nothing at all to sustain the market except investing in infrastructural development.
:siddharth
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