Indian states must get the message of reforms if market distortions on the ground are to be resolved
Much hand-wringing is going on in public spaces over the fact that India’s real gross domestic product (GDP) growth printed at 4.5% year-on-year in the second quarter of fiscal 2019-20. Before we dive deeper into the implications of the figure, it is important to put it in context. An economic recession has commenced in Mexico. In China, the underlying economic growth is deemed far lower than the reported figure of 6% (China’s True Economic Growth Could Be Half Of What Everyone Thinks, argued the columnist Dominique Dwor-Frecaut on 29 November,businessinsider.in), and auto sales have plummeted there too. Declining economic growth seems to be a phenomenon of emerging economies.