India Embroiled
The hype about ‘India Shining' looks exaggerated. Don't you think so. The 2G spectrum scam and now adding to the controversy is the greasy loan scam which has engulfed major Indian banks. LIC Housing- the chief Insurance Company mentored by the government itself is in the middle of this murky scam. It is estimated that LIC has an exposure of Rs 1600 crore to the tainted companies which had extended greasy loans to the tainted infrastructure developers such as Uninor, Parasvnath, DB realtors and others.
It was not long before when U.S. President Barack Obama praised India for the long developmental leaps she has taken and called her as a state already risen. But it seems as though we Indians can't take the praise in our stride. It is the power of Article 19 : freedom of expression that media houses help to unmask such disgraceful acts of the few who make the most difference. Yes, i am talking about the corrupt politicians and the bureaucrats.
Our telecom Minister A. Raja from the Regional Party DMK has been at the centre stage of the 2G scam. When questioned by media and the opposition to resign and set high standards of morality, a shameful act on his part made a mockery of the "Collective Responsibility" clause of the Indian Constitution.
The Indian Banking System which showcased high resiliency during the grave times of Global Financial and Economic crisis now bears the stigma of poor business ethics. No matter how many Basel reforms are implemented, the lack of genuine will to usher in a change will continue to elude our dream to make it to the big league. Be it Basel I or Basel II, it is the human capital which needs to be equipped to tackle such issues. Blame game has always been on but when the top management of the Banks is itself embroiled in such murky business, we are hoping against hope that we as a country would soon join the elite. On one hand we are staking our claim to be a permanent member of the UNSC but on the flip side have shown complete disrespect for the Governance norms. Government of India seems to be the biggest defaulter. It is said –
"It is not the business of the government to be in business"
Then why did government not appoint a consultancy firm to award the 2G licenses. The loss to the government by the sale of 2G licenses as per the CAG report is envisaged to be Rs 1.76lakh crore. This proves that government is a poor entrepreneur and then to narrow down her Revenue and Fiscal deficit, the government tinkers with the Tax regime on the pretext of aligning it with Adam Smith's Canons of taxation and the Laffer Curve.
Budget 2011 is round the corner but headling presently are the issues of Inflation and corruption which have severely dented investor confidence.The country is facing a traditional type of market failure which any Developing economy would face in her leap towrads development. The need of the hour seems to be virtuous conduct on part of all the citizens of the country especially the office bearers along with achievement of replacement level population growth rate.
The country boasts of her ethinic diversity and the unity in it but are the people really united! We still have the reservation system, tribals still exist and are so under-privileged that Forest Act 2006 was passed by GoI. to ensure their upliftment, issues like manual scavenging still make a headline, woman empowerment is a debatable topic etc.. It is the sheer ideological difference that divides and unites the Indian masses.
India is a great country but as has been said -
"When you climb the ladder of success, make sure it is leaning against the right tower"
The early Indian stalwarts considered caste system to be a great boon which has definitely not proven to be so in the present times. If it weren't for the divide created by the caste system, many of the current problems would be non-existent and the country could have proudly boasted of her rich human capital and symmetric wealth distribution.
"In order to have a good social system, you need to have a good economic system"
- By S.N. Baneerjee
India shining in terms of GDP figures is a myth. True growth occurs when development benefits are percolated to the most underprivileged strata of the society. To believe that 64 years of Independence would transform the societal virtues is again a dream. Sixty percent of the estimated 114 crore population still lives in the 6 lakh villages. India shining is therefore a myth.
It was not long before when U.S. President Barack Obama praised India for the long developmental leaps she has taken and called her as a state already risen. But it seems as though we Indians can't take the praise in our stride. It is the power of Article 19 : freedom of expression that media houses help to unmask such disgraceful acts of the few who make the most difference. Yes, i am talking about the corrupt politicians and the bureaucrats.
Our telecom Minister A. Raja from the Regional Party DMK has been at the centre stage of the 2G scam. When questioned by media and the opposition to resign and set high standards of morality, a shameful act on his part made a mockery of the "Collective Responsibility" clause of the Indian Constitution.
The Indian Banking System which showcased high resiliency during the grave times of Global Financial and Economic crisis now bears the stigma of poor business ethics. No matter how many Basel reforms are implemented, the lack of genuine will to usher in a change will continue to elude our dream to make it to the big league. Be it Basel I or Basel II, it is the human capital which needs to be equipped to tackle such issues. Blame game has always been on but when the top management of the Banks is itself embroiled in such murky business, we are hoping against hope that we as a country would soon join the elite. On one hand we are staking our claim to be a permanent member of the UNSC but on the flip side have shown complete disrespect for the Governance norms. Government of India seems to be the biggest defaulter. It is said –
"It is not the business of the government to be in business"
Then why did government not appoint a consultancy firm to award the 2G licenses. The loss to the government by the sale of 2G licenses as per the CAG report is envisaged to be Rs 1.76lakh crore. This proves that government is a poor entrepreneur and then to narrow down her Revenue and Fiscal deficit, the government tinkers with the Tax regime on the pretext of aligning it with Adam Smith's Canons of taxation and the Laffer Curve.
Budget 2011 is round the corner but headling presently are the issues of Inflation and corruption which have severely dented investor confidence.The country is facing a traditional type of market failure which any Developing economy would face in her leap towrads development. The need of the hour seems to be virtuous conduct on part of all the citizens of the country especially the office bearers along with achievement of replacement level population growth rate.
The country boasts of her ethinic diversity and the unity in it but are the people really united! We still have the reservation system, tribals still exist and are so under-privileged that Forest Act 2006 was passed by GoI. to ensure their upliftment, issues like manual scavenging still make a headline, woman empowerment is a debatable topic etc.. It is the sheer ideological difference that divides and unites the Indian masses.
India is a great country but as has been said -
"When you climb the ladder of success, make sure it is leaning against the right tower"
The early Indian stalwarts considered caste system to be a great boon which has definitely not proven to be so in the present times. If it weren't for the divide created by the caste system, many of the current problems would be non-existent and the country could have proudly boasted of her rich human capital and symmetric wealth distribution.
"In order to have a good social system, you need to have a good economic system"
- By S.N. Baneerjee
India shining in terms of GDP figures is a myth. True growth occurs when development benefits are percolated to the most underprivileged strata of the society. To believe that 64 years of Independence would transform the societal virtues is again a dream. Sixty percent of the estimated 114 crore population still lives in the 6 lakh villages. India shining is therefore a myth.