Union budget session displayed on billboard In Mumbai Anshuman Poyrekar/Hindustan Times via Getty Images

India’s Path From Crony Socialism to Stigmatized Capitalism

Over the past few years, the Indian government has pursued far-reaching economic reforms to address the twin problems of overly indebted private-sector firms and under-capitalized public-sector banks. But, more fundamentally, the government is finally trying to deliver the country from the legacy of its socialist past.

NEW DEHLI – Is India about to get its mojo back? As the country’s exports accelerate on the back of today’s synchronous global economic expansion, the negative effects of the November 2016 demonetization of high-value bank notes and the enactment last July of a new goods and services tax (GST) are receding. Provided that macroeconomic pressures from high oil prices are contained, and sharp corrections to elevated asset prices are managed, India is poised to regain its status as the world’s fastest-growing major economy.

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