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Journalism of Courage
The festival of lights, which celebrates prosperity and success both at home and in the market place, as one of our columnists notes, is also a time to do crucial stock taking. The buoyancy generated by the India growth story has proved to be remarkably resilient, despite rising oil prices and the sub-prime crisis in the US markets. A recent economic and hiring survey by McKinsey for the latest quarter indicates that 77 per cent of Indian executives believe that the country8217;s economy would only get better.
Such optimism is anchored by some extremely heartening trends on the ground. As this newspaper has just reported, all indications are that Indian agriculture 8212; upon which depend the lives of millions of Indians across the country and which has long bucked the rising growth trajectory 8212; is expected to register a growth rate of 4 per cent. Meanwhile the Sensex crossed 19,000, indicating that the country continues to be an attractive investment destination. Despite all the controls on foreign capital, the fact that dollars are flowing into India is a vote of confidence in its economy. A stronger rupee has increased the purchasing power of Indians, drastically changing their lifestyles. More Indians are travelling, both within the country and abroad. More Indian companies have gone on a shopping trips abroad. Modern retail is making good quality products available to Indian consumers at cheaper prices. Merchandise exports continue to be high. Imports have risen, indicating a rapidly growing industrial sector, and rising investment in infrastructure 8212; roads, power, ports and airports. All this portends well for sustainable industrialisation, easing some of the serious constraints it had always faced. Real estate development, which creates infrastructure, is high on the list of investment projects being implemented and this too bodes well for the future. As a consequence of these trends, government tax revenue has also registered impressive gains.
