Our country is facing an economy crisis. The GDP rate is now 5%. The rupee is now 71 compared to the dollar. when BJP came to power, then the rupee level was 60 against the dollar. How did this happened? Is this the first time our GDP has fallen so much.
C.S.O AGENCY (central statistic office) The job of this government agency is to calculate GDP (demand side) or GVA (supply side). Those who have recently released an economic report which states GDP at 5% and GVA at 4.9%
According to the report, the main two reasons for falling of GDP is the first fall of our GVA (supply), all three sectors of the country agriculture, manufacturing and service have declined. According to the data, the sector of agriculture which produces raw material was 5% last year, which has fallen to just 2%, the same goes for manufacturing sector, which includes factories and production, has fallen from 12.1 to just 0.6%.
The agriculture and manufacture sector holds 70% share in the country, so if such a large population of the country is not able to provide service, it clearly means that they are not getting work and even if there is work, then there is no earning according to the cost.
Apart from this, the service sector is the only sector that is slightly stable.It is evident from the fall in the earning of the people that their purchasing ability has also fallen.If there is a decrease in expenditure, gdp is bound to be affected. Apart from this, there has been a big decrease in investment as well. From the internal reason of the country, Too one of the major reasons for the fall of our rupee is also the withdrawal of bond investment of foreign fortfolio investors. Foreign investors have withdrawn Rs 47386 crore from our Indian market.
Increase in government expenditure has also led to a decline in GDP, whether it is Modi ji’s foreign tour, which holds an expenditure of 1.84 crores or 2.5 million rupees spend by goverment to maintain value of rupees.
In 2013 when the NDA was leading government.They also spent 20 billion dollars to hold the rupee position.
But those were the days of the Crisis, Those days the dollar was more than 100 per oil Baler.
In 2017, when Donald Trump became president of the United States, he cut America’s taxes, He increased the United States deficit while the United States was already had an growing economy, he also tried to shut down the Iranian oil supplier and Globally started Trade War.
This created a stir in the countries of the Rising economy. In which India also came into effect and a Macro economy came into the state of imbalance.
And the problems of Modi ji’s stable government started toppling over, now it was a matter of falling of GDP. What can you do to handle this? Does our government have any scheme left?
There is still a way for our government they can release NRI bonds.
What are NRI Bonds? These are bonds issued by the Reserve Bank of India. These bonds provide high return rate to NRI investers, which attracts investors as they get such high return rates this will bring an lot of money to our country and thus stable the falling economy.Nowdays Investors are withdrawing because they are not interested in India’s domestic assets, so it is the best way to attract attention and save our country’s falling economy. But it is very sad that our government is not taking any action on this, they still like to take small steps like changing the board members for planning things ! The government will have to take some important decision soon.
