Tagged: downgrade of Indian economy

Economy Downgrade and Downfall – Both are a foregone conclusion


Exactly a year ago ( March, 2012), i wrote about the ‘tough times’ India is likely to pass through . Read this link https://commonmansblog.com/2012/03/22/have-we-oversold-the-india-story/

Again , six months back ( 11 October , 2012 )  , i wrote that India is heading towards an economic disaster . https://commonmansblog.com/2012/10/11/india-from-emerging-to-a-submerging-economy/
After the recent budget  ,i have expressed my views clearly on the year 2013-14. So far, all predictions have stood the test of time and proved right …..
My last blog was written on 01 March 2013, https://commonmansblog.com/2013/03/01/budget-2013-14/

I am not an economist , so in case, my predictions go wrong ( so far, i have not been wrong on a single occasion ), i do have an option to take refuge in my lack of educational qualifications in the Economic theory unlike the proficient doctors of economics do at PM’s office , Planning Commission & the Finance ministry …..

My belief is that in 2013-14;

1. This Government will struggle to revive growth

2. Inflation ‘might’ ( 50 % chances ) come down a bit , as consumption story of India will go down

3. Manufacturing sector will slow down

4. Fiscal deficit will increase, and might create a balance of payments problem , or the Government will open more avenues for FDI ( or bend to the demands of the industrialists )

5. Tax collections will go down

6. Divestment target will not be met under the current situation unless some more ‘targets’ are divested

7. India might face a ‘security threat’ before the next elections

8. Investor confidence cannot be revived due to ‘Governance deficit’ and ‘Scamful’ Government at the centre .

Also, you can expect this Government to come out with injecting ‘Oxytocin’ in the economy as mentioned in my earlier blog ….. but this will be a short-term story, and will further dent the strength of the economy

Overall, not a good omen for job seekers and this nation . Hopefully, this will be the last budget for Congress

Rajendra Pratap Gupta

www.commonmansblog.com 

 
Today, my friend from the US send me this link http://timesofindia.indiatimes.com/business/india-business/India-headed-for-economic-doom-prominent-US-thinktank-says/articleshow/18772325.cms?. Which talks about ‘India headed for economic doom’ according to a prominent US Think Tank ….. Well, i have said that a year ago with all the supporting data…. and dwelled much more in detail
 
 
This  Government wants to spend more , earn more only on the basis of ‘Hope’, accepting a fiscal deficit of USD 75 Billion ! Which to me, appears to be a foolish and insane ! I have still not got a convincing answer about where this USD 75 Billion dollar will come from ? FDI or FII ? This country ( Economy ) is waiting not just for a downgrade , but for a downfall !
 
UPA – I was a classic case of the Government being ‘Exposed’ to time driven growth , and UPA – II is a unmistaken case of ‘Exposure’ of this failed , clueless & corrupt dynastic Government
We need serious action . Opposition is also on the verge of letting down this nation
Rajendra Pratap Gupta 
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