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Conclusion/ Way forward

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  • Published
    24th Dec, 2020
  • The world has just experienced the biggest shock since World War II. The immediate response is well underway.
  • Based on a "barbell strategy", India's economic and health response has been somewhat different than that of other countries in terms of sequencing and emphasis of various measures.
  • The cycle has not yet fully played out but, as the economy gets fully unlocked, the emphasis will shift towards stimulating demand using infrastructure investment.
  • The long-term response, however, is aimed at making the Indian economy more resilient and flexible in order to deal with the opportunities and problems of the post-Covid world.
  • Recent reforms in agriculture, labour markets and the financial system should be seen in this light. This is also the context for Aatmanirbhar Bharat.
  • Of course, many other areas also need change but arguably the administrative and legal systems should now be the focus of next generation of reforms.  

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