INDIA'S BALANCE OF PAYMENT DYNAMICS POST-LIBERALIZATION: A COMPREHENSIVE ANALYSIS


Dr. Abdullah Khalid
Assistant Professor, Department of Business Finance and Economics, Maulana Azad University Jodhpur, Rajasthan
Abstract
Since 1991, many important changes have taken place in Indias balance of payments. In these reforms that took place at the beginning of liberalisation, all the attention has been focused on the dependence of the market system. As a result, removal of controls, reduction of government interference, greater autonomy to private investors, reduction of dependence on the public sector, Helpful policies have been formulated to further open the economy to international trade and increase the convertibility of the rupee. Many critics have been urging that the pace of these reforms should be faster, that is, they should be increased more rapidly in this direction. Yet there is no doubt that the reformist forces are gaining strength and the spread of these reforms is getting deeper. In other words, there has been a real upheaval in the traditions of the policy-making system associated with Indias economic planning and such upheaval had never happened in the Indian economy before liberalisation. Outside India, there was a grand reception of these reforms in foreign countries, but from the very beginning, there was a fierce controversy about them within the country. This dispute was very sharp and extensive and the arguments on both sides seemed very precise and powerful. Our ongoing policy reform discussion is focused on only one resource group related to the use or non-use of the market, the talk stops after reaching the promotion of private investment, resorting to foreign trade etc. But there are other means of development as well, especially there are many means related to the social dimension of economic activities and successes, which are not discussed in todays ongoing discussion. In this way, along with the basic error of the clarification of goals, the analysis of the means that can be helpful in achieving those goals is also being neglected nowadays. I even claim that well-organized and well-expanded promotion of these social resources, regulators of economic performance and results, will prove to be very helpful in fulfilling the limited present objectives of economic reforms.
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Journal Name :
EPRA International Journal of Economics, Business and Management Studies (EBMS)

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Published on : 2023-07-31

Vol : 10
Issue : 7
Month : July
Year : 2023
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