Indian Economy has been slowing for sometime now, however the GDP growth data released for the last quarter of 2018-19 came in as a surprise – just 5.8%. Unemployment too has risen to a 45-year high at 6.1 per cent, according to figures released by the Ministry of Statistics and Program Implementation (MoSPI).
Further taking into account of the new numbers average agricultural growth has been stumped to just 2.5% in last 5 years.
The present slowdown has almost got Rural demand to its knees, with sectors like FMCG and Automobile reporting major falls.
The task for the new government is multi fold. It needs to look into priority sectors that need help. This includes both export oriented sectors as well large scale employment sectors like Agriculture
One of the easiest thing for any government is to start pumping its own expenses into the market and kick start the engine to a new level. But for the new Finance Minister will need a better injection of revenue collection. The fact is that even GST collections have not grown as fast as government would have liked to see.
Its not going to easy for Modi and his ministers to turn around the wheels when the world is in middle of a new Trade War and that India has to find opportunities when they be difficult to find
