Subsidy raj

Written by The Financial Express | Updated: Aug 31 2013, 07:20am hrs
The country is facing an economic crisis-like situation with a sliding rupee, slowing growth, trade deficit, fiscal and current account deficits etc. And the actions by both the central bank and the government havent been enough until now. At the same time, some of the policies of the government go contradictory to each other. While on one hand they go supporting the reforms process, on the other hand they promote giving more and more subsidy on every sector be it food, power, education and so on, creating a subsidy raj. In such a situation earlier we had turned to free the economy from the licence raj. Now, to save the situation, we need a new thinking. We need to take a turn away from the subsidy raj and move to a free economy so that we get everything freely without restrictions and at competitive prices also.

Jacob Sahayam