Indian Economic Situation.

Topics: Economics, Economy, Manmohan Singh Pages: 2 (697 words) Published: December 2, 2012
India is seventh largest country by area and the second most populated behind china over 1billion people. India was ruled by British government until 1947, after getting the independence they started rebuilding their economy, which was ruined by the British. The new Indian government highly concentrated on agriculture and industrial sector to provide employment opportunities to the growing population, the economic system in the following years was inspired by the socialist policies, state ownership where the government own the control of any enterprise, industry or assets. They followed strict and excessive regulation on private sector in between 1947 and the early 1990 s called the “License Raj”. During this period the Indian economy was in struggle. This economic system led India to financial crisis and under the pressure of “ International Monetary Fund (IMF)” India undertake economic reforms. Trade liberalization, financial liberalization, tax reforms and opening up to foreign investments were some of the important steps, which helped Indian economy to gain momentum. The Economic Liberalization introduced by Man Mohan Singh in 1991, then Finance Minister in the government of P V Narsimha Rao, proved to be the stepping-stone for Indian economic reform movements. Sectors of Indian Economy have witnessed unparalleled levels of financial development, due to this economic reforms. India, being a money-making and industry centric economy, has gained in huge amount by off-shoring from developed nations, and a vigorous production and export centric sectoral outline. Major sectors of Indian economy

The Agricultural sector is one of the most significant part of India. Agriculture is the only means of living for almost two-thirds of the employed class in India. The agriculture sector of India has occupied almost 43 percent of India's geographical area. Agriculture is still the only largest contributor to India's GDP. The Communication sector is among the fastest...
Continue Reading

Please join StudyMode to read the full document

You May Also Find These Documents Helpful

  • Leading Indicators of Indian Economics Essay
  • Indian Economic Crisis 2013 Essay
  • Essay on Indian Economic Liberalisation
  • Basics of Indian Economics Essay
  • Essay on Indian Economic Growth
  • ECONOMICS Research Paper
  • Economics Essay
  • economics Essay

Become a StudyMode Member

Sign Up - It's Free