Say good bye to $5-trillion economy, says Subramanian Swamy after GDP numbers released

[Kool_SRG]

Swamy said that boldness and knowledge can save the economy ‘from a crash’.

Bharatiya Janata Party leader Subramanian Swamy on Saturday said that the country may not reach its target of being a $5-trillion economy if “no new economic policy is forthcoming”. Swamy’s comments followed the news of India’s Gross Domestic Product growth falling to 5% in the April-June quarter – the fourth straight quarter of slower growth and the slowest growth in over six years.

“Neither boldness alone or knowledge alone can save the economy from a crash,” Swamy tweeted. “It needs both. Today we have neither.”

The government adopted a slew of measures to control the economic slowdown in the last few weeks. Finance Minister Nirmala Sitharaman on Friday announced that 10 public sector banks would be merged into four entities. The announcement came a week after she unveiled a slew of measures to revive economic growth.

Last week, Sitharaman had announced a set of measures to prop up the economy, less than two months after presenting the Union Budget. The Reserve Bank of India had also announced last week that it would give the Centre Rs 1.76 lakh crore of its dividend and surplus reserves.

In the last few months, core sectors such as automobiles, manufacturing and real estate, witnessed a progressive slowdown in growth due to weakened consumer demand and dearth of investments. Chief Economic Adviser KV Subramanian on Friday attributed the slowdown in the growth of Gross Domestic Product to domestic and global factors. He added that the government was taking steps to improve the situation.

[Kool_SRG]

 

[Kool_SRG]

 

[Kool_SRG]

Paapam once Jaitley is out of Picture Subbu would have though he could get the post but didn't happen for him...

[Android_Halwa]

April-June...a period which was dominated by elections and election code was in five for major time of the quarter. 

The growth is intact, we have fairly good monsoon and industrial output will pick up in these two quarters. 

By December, We will get back to increasing growth numbers. 

 

[hyperbole]

6 hours ago, Android_Halwa said:

April-June...a period which was dominated by elections and election code was in five for major time of the quarter. 

The growth is intact, we have fairly good monsoon and industrial output will pick up in these two quarters. 

By December, We will get back to increasing growth numbers. 

 

The problem is the Indian economy is over inflated at the moment..Businesses are not making enough to keep with the rising inflation and salaries. We are complaining about reality sector in Hyd but in tier 2 cities like pune the on going rates are 10-15k per sft, to afford that kind of housing either people are seeking salaries in that range or we have reached a point there are fewer buyers, either way the correction is going to come.

Also the banks are struggling to keep up and are facing a severe crunch for funds and that is hitting the small and medium scale businesses badly. Housing lending or infrastructure lending rates are abysmal, they are lending state govts and infrastructure projects at 10-12% rates and how on earth is that sustainable.

GST needs a big time correction, if parle G is firing in hoards then something is wrong  with the approach and it need to be tweaked or corrected. That is a effing 7c or Rs 5/-  per biscuit packet and if people are not buying like before then it says something.

I feel our bureaucracy is a weak link, often times they failed to access and forecast the situation. Congress or BJP doesn’t matter in my opinion as they are the same people overseeing the implementation for the strategy defined at the top. Just look at town planning to see how pathetic it is and imagine how they would be handling finances..