WELCOME TO THE REPUBLIC OF INDIA

India’s journey has been an adventure pre and post-independence with lots of bright and dark movements. India is a country of diversity and is home to 1,387,297,452 people. It covers a major portion of the world’s population, India practices mixed economy dominated by the agricultural sector with maximum dependency for self-sustainability.

The country is headed by the Prime Minister of India which is administered by the President of India.

HINDUSTAN: India is the largest democratic country of all with a diversified practice and religion, Hindu is the most practised religion consisting of about 78.35% of the population believing it followed by Islam 14.2% as per 2011 census. Post Independence, the country has faced a lot of civil war crisis based on religions and hatred speeches which are believed to be influenced by Indian Politicians to fuel their votes and party power. Indian politics is filled with emotions and ideological trusts with various governments forming in and crashing out in every 5 years of election. Some of the major political parties in India are INC, BJP & Communist Party.

POLITICAL FRAMEWORK:
India’s central political & Governance formation has been segregated by two major houses i.e. Lok Sabha ( where leaders are elected by General public i.e. Us) & Rajya Sabha( where leaders are elected by MLAs). Lok Sabha is the power of all as it is represented by people’s representation named as MP( Member of Parliament). Major code of conducts, legislation and various norms are discussed, debated and finalised by 2/3rd majority in these houses. This is how the Indian government functions and works collectively to conclude a brighter decision.

AN ENTRY INTO THE INDIAN ECONOMY:
After the laws are framed, it's time to execute the policies in a strategic way. The Government’s major source of income is through direct and indirect taxes, exports, government services and other investments. Major spendings on infrastructure development, IT, Railways, imports and other projects. In past few years, India’s current government spending has increased than its income leading to a poor balance sheet which is generally coined as Fiscal deficit. It happens due to improper planning of government budget and poor execution which when can be revived by strengthening the local and unorganised economy, pushing more relevant projects, transparent and efficient utilisation of Tax along with strict compliance. Advancement & Promotion of domestic goods which are manufactured & produced within Indian territory and levying more taxes on imported goods in order to gain trade surplus. Therefore, a healthy Fiscal policy will strengthen our economy as well as our Domestic currency(Indian Rupees)

India’s GDP Annual growth rate has been highly volatile since independence with a peak at 10.78% in terms of the market price in the year 2010-11 under the leadership of Dr Manmohan Singh after the liberalisation of the economy in the year 1991(As per economic times). India has also experienced major economic slowdowns in the past few years due to an imbalance in government income, investment and government spending.

As per trading economics, the current Annual GDP growth rate has been slipped down to 4.5% and remained 0% in past few months due to coronavirus (CoVid 19) syndrome which has been a serious global economic crisis leading to recession.

Let us explain you through a practical example: Consider India as your father, your father is involved in a business. He earns by operating an electronics store and he has business expenses such as the purchase of raw materials, marketing, staff salary & shop maintenance as well as personal expenses to manage his family.

Case 1:
If his income is more than his expenses (Surplus) then your financial condition will be healthy and you stay happy. Similarly, if the country has a revenue surplus then its economy will perform well and its global happiness index will increase along with making the country lucrative for foreign investors.

Case 2:
If his income is less than his expenses (deficit) then the liabilities will overrun leading to debts, stress and family problems. Similarly, when the country’s fiscal deficit increases it experiences huge revenue loss, market degrades making the country not suitable for business & investments. Thus, the country faces economic slowdown due to poor consumption rates.

Case 3:
If his income is equal to its expenses then your father plans to expand the business in order to fetch more customers or tries to cut down minor expenses. Similarly, the country focuses on international trade and tries to push its domestic goods in international markets (Exports).

India is a young nation with healthy resources and capabilities. It needs to follow an ethical code of conduct in its political system and decentralise the independent institutions in order to capitalise its strength, overcome its weaknesses, adapt to opportunities and develop defensive strategies for upcoming threats.

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