India’s economy is facing the nasty situation from last many months major sectors like industries as diverse as automobiles, consumer durables, FMCG, cement and real estate, even financial services are facing massive problems. These major sectors of the economy have collapsed badly. Prime Minister Narendra Modi has said that 5 trillion dollar economy by 2024 and RIL ( Reliance Industries Chairman ) RIL Mukesh Ambani also said India set to become $10 trillion economy by 2030 in Reliance the bourn is not that to shape the county’s in trillions the main engrossed the problem of economy slowdown.
Now there are reports coming to that inflation tumble to 1.08% in July against 2.02% in June government has delivered data said whole inflation in food articles was 6.15 per cent in July as against 6.98 per cent in the previous month and data also mentioned that inflation in fuel and power segment contracted further to (-) 3.64 per cent as against (-) 2.2 per cent in June. The retail inflation in July too had eased to 3.15 per cent in last month.
Another crucial news has come from the automobile sector 15,000 workers lost jobs in auto manufacturing firms in 3 months by the SIAM. According to the reported agency, the sector has lost almost 15,000 jobs, mostly temporary and casual workers, have lost jobs in the automobile manufacturing companies over the last two to three months. Now that worry sign for the automobile sector how to handle the glitch major auto giants like like TATA and Mahindra, Maruti Suzuki is there are not able to sell their cars in markets that is why companies are cutting temporary jobs like India’s NO 1 Car Maker Company Maruti Suzuki cuts due to the massive sales decline in his passenger vehicles. There were also reports that Maruti is also faced a decline in its Q1 profit that reported 27.3 per cent year-on-year decline in its net profit at Rs 1,435.50 crore for the first quarter ended June 30, 2019, dented by lower sales volume and higher depreciation expenses.
What India Can do prevent this economy from negative acceleration towards the economy. Simply India can implement these five steps
The first step is that the government can make GST simpler and bring all the fuels in GST and bring intoxicant.
- The second step is Make IBC simpler and time-bound
- The third Step Make FDI cushier
- Fourth step Get execution, of RERA across the country to revitalise, real estate
- Fifth steps rectify the banking sector.
The government should execute these five steps to prevent economic consumption. Such immediate measures will begin to show results within 2 quarters. Bedsides this as per the reports of Reuters India’s retail inflation rate eased slightly in July, staying below the central bank’s 4% medium-term target for a 12th straight month, strengthening views that there will be a policy rate cut in October.