De Soto to help in integrating economy

De Soto to help in integrating economy

New Delhi: Peruvian economist Hernando De Soto, who is the the capital to meet with government officials will over the next few days, seek to formalize an arrangement to help the government integrate its vast informal economy with the mainstream.

De Soto is the founder of the think-tank the Institute for Liberty and Democracy and is best known for his role in eradicating the Shining Path guerilla movement by empowering landless peasants who supported the Shining Path.

"We (De Soto’s Institute for Liberty and Democracy) were invited to propose the basis for an engagement. We have put out some ideas on paper... to look at the possibility of using some of our methods in India," De Soto said.

De Soto said he would seek to identify the obstacles that prevent those in the informal economy from reaching into the formal economy.

While there is no formal relationship with the government of India yet, De Soto said he was hopeful of reaching an arrangement within the next few days.

De Soto met senior government functionaries as well as political leaders, including All India Congress Committee general secretary Rahul Gandhi in February this year, when he was in India to address an industry conference.

Housing and poverty alleviation minister Kumari Selja will look to constitute a committee with officials from several ministries to look at the issue of bringing more people into the formal economy, De Soto said.