Uncertainty’s bleeding the economy

Abstract

The leadership should seek the advice of top-notch economists for a fresh strategy. India needs a confidence boost The Government has not been successful in kick-starting the sagging economy. This is indicated by the dismal performance of the Index of Industrial Production (IIP) released recently. The general index for March 2016 is 0.1 per cent higher compared to the level in March 2015. It is a matter of concern because lower growth is mainly due to the negative growth of 2.9 per cent in capital goods compared to a robust 6.3 per cent growth the previous year. Similarly, growth in basic goods is half that of the previous year. On prices, the consumer price index is beginning to look up with CPI (combined) at 5.4 per cent in April 2016 compared to 4.9 per cent a year earlier, and food prices at 6.3 per cent compared to 5.1 per cent in the previous year. Read more at: https://www.thehindubusinessline.com/opinion/uncertaintys-bleeding-the-economy/article8668519.ece