Economy of INDIA

FROM 1st QUARTER OF 2019

• Indian economy growth is 5.8% in January-March 2019 quarter.
• This is lowest in last five year from Central Statistics Office (CSO).
• CSO is a Indian governmental agency under Ministry of Statistics and Program Implementation.
• India lost his first position of fastest growing economy now china is first for this quarter only.
• On the basis of yearly growth India hold its first position with 6.8%.
• This is surprising moment for everyone because it is expected India at least give 6.3% growth in first quarter of 2019.

EFFECTS ON INDIAN ECONOMY

India lost his investor, because of on paper India lose his rank. Major effect is PM Modi can not advertise by saying India is largest growing economy, it will give a bad impression on India because he will not maintain our rank on fastest growing economy, it is very expected to India will hold its position at least 10 year but India fall very early. 

But one thing to be noticeable India still hold its first position on yearly with 6.8% GDP, where China has a growth of 6.2% is expected.

There is a demand slump situation for India which effects its economy on yearly based.

REASON BEHIND INDIA'S FALLING RANK

There is not any particular reason, India currently face; 

1. The crises of NBFC(non banking financial companies).
2. Larger problem is slow down of demands (less spending).
3. Recently Periodic Labor Force Survey(PLFS) of National Sample Survey Office(NSSO) according to this survey unemployment rate is 6.1% this is break  45 year old record.
4. GST and Demonetization back to back very early dissension taken by government.   

STEPS REQUIRED BY INDIAN GOVERNMENT

RBI or Government of India invest money in Economy, Bank deserves money at very low interest because travelling of money by NBFC to consumer and corporation.

Revive manufacturing sector of India, if we talk about employment mostly jobs can not come through UPSC or SSC it will give maximum 50000 to 60000 more jobs only it is very less if we see India's population.

Government takes action on Land Acquisition process make easy, India's economy depend upon domestic consumption it is possible only when employment rate increase.

if India cannot take immediate action on these problems then Indian economy is like MIDDLE INCOME TRAP it mean India look like Brazil, South Africa where unemployment or crime rate is very high, divisions on society. 

This is not good for any country.