Growth In India Research Articles

THE ROLE OF REGIONAL RURAL BANKS (RRBs) IN RURAL DEVELOPMENT WITH SPECIAL REFERENCE TO PRATHMA BANK, UTTAR PRADESH

Rural development is a cornerstone of India's socio-economic progress, as a significant portion of the population resides in rural areas where agriculture and small enterprises drive the economy. Regional Rural Banks (RRBs), established to bridge the credit gap in these regions, play a crucial role in promoting financial inclusion, enhancing agricultural productivity, and fostering sustainable rural development. This paper examines the multifaceted contributions of RRBs, with a specific focus on Prathma Bank in Uttar Pradesh, which has emerged as a vital institution in the rural banking landscape. The research highlights how Prathma Bank has effectively catered to the financial needs of marginalized farmers, women entrepreneurs, and small business owners through innovative lending products and microfinance initiatives. By promoting self-help groups (SHGs) and providing access to essential financial services, Prathma Bank has empowered rural communities, improved livelihoods, and stimulated local economies. Furthermore, this study analyzes the challenges faced by Prathma Bank, including high levels of non-performing assets (NPAs), limited technological infrastructure, and the need for enhanced financial literacy among rural populations. It underscores the importance of leveraging technology and expanding outreach to ensure sustainable development in rural areas. The findings suggest that while Prathma Bank has made significant strides in promoting rural development, strategic interventions and policy reforms are necessary to address operational challenges and maximize its impact. Recommendations include strengthening risk management frameworks, expanding product offerings, enhancing governance, and fostering public-private partnerships. This paper concludes that RRBs like Prathma Bank are not only pivotal in facilitating access to credit but also play an essential role in the holistic development of rural economies, making them indispensable to India's growth narrative

A Case Study on Micro Financial Institutions – Effective Tool for Alleviating Rural Poverty in India

Micro financial (MFI’s) are extremely important in helping the underprivileged and low-income people in a nation like India, where 70% of people reside in rural areas and 60% of people are employed in agriculture according to the data of World Bank. The case study aims to highlights significance of microfinance in developing nations like India, where a sizable portion of the populace lives in poverty and lacks access to regular banking services. The Self Help Groups (SHGs)-Bank Linkage Program and Microfinance Institutions (MFIs) are the two main techniques that define the microfinance sector in India. The Self Help Groups (SHGs)-Bank linkage initiative, which aims to give the unreached poor a cost-effective way to receive financial services, is the main player in microfinance in India. The purpose of this case study is to assess the current state and contribution of microfinance to India's growth by elevating the economic conditions of rural population. Keywords: MFI’s, SHGs (Self Help Groups), Poverty Alleviation.

“The Impact of Participation in The MGNREGS On Beneficiaries-A Study in Select Districts of Telangana”

Since backward and rural employment and village development are essential to India's growth, the MGNREGA actively promotes backward and rural development by hiring unskilled labor. The MGNREGA helps BPL families by filling in the gaps in inflation and giving them seasonal work during dry spells. MGNREGS offers beneficiaries a chance to advance their socioeconomic status.
 Objectives of the present study: To study the impact t of no of years, no of days and daily wages received of beneficiaries on economic, social and living status of beneficiaries. 
 Methodology: the study is depending on primary data source and data is collected with the help of structured schedule. For the study sample size is 364 respondents. The methods used in this research is regression model with help of SPSS. Findings: The result of the study are about 53% of the living status of the beneficiaries is impacted by the daily wages received the impact is also statistical significant and about 70% of the social status of the beneficiaries is impacted by the daily wages received,
 Suggestions: It is suggested that the wage rates under the MGNREGS need to be revised periodically to improve the living status of the beneficiaries.

The Rise of Developmental Statism in India: Focusing on the Resurgence of State-owned Enterprises in the Modi Government's Infrastructure Development Strategy

This paper explores how the Narendra Modi administration has used state-owned enterprises (SOEs) to achieve its infrastructure development goals. After implementing global neoliberal policies in 1991, India had reduced the state's role and promoted private sector activities. However, these reforms failed to attract private sector investment, which led to a decline in growth. This decline in economic growth and slow progress in infrastructure became major political issues after the 2008 Global Financial Crisis. India witnessed a significant political shift in 2014 with the election of BJP-led Narendra Modi government, marking the first single-party majority government in three decades. The Modi administration identified infrastructure development as a critical factor in reviving India's growth story. It embraced what I term 'Developmental Statism' by extensively utilizing SOEs as 'developmental means' to implement crucial infrastructure developmental projects. India’s this developmental strategy led to the creation of new SOEs and an expansion of the existing ones. The paper also highlights that the resurgence of SOEs in the Indian economy doesn't oppose the market economy. Instead, it facilitates the market economy by promoting public-private partnerships.

Assessing The Impact of Cross Border Investment on India’s Growth & Development for the Periods from 2019-20 to 2021-22

Abstract: Cross-border investment (CBI), sometimes referred to as foreign direct investment (FDI), has been a major contributor to India's economic expansion. India has emerged as one of the world's most alluring locations for foreign direct investment in recent years. India has a sizable and expanding domestic market, a highly skilled labour population, and an inviting investment environment, among other reasons for this. The influence of the CBI on India's growth and development between 2019–20 and 2021–22 is evaluated in this research study. The study looks at FDI inflow trends, the most popular industries for FDI, and the effects of CBI on a range of economic metrics, including GDP growth, inflation, and employment. The study concludes that between 2019–20 and 2021–2022, FDI inflows to India grew dramatically. Manufacturing, infrastructure, and services were the main industries that drew foreign direct investment. India's GDP growth, inflation, and employment all benefited from the CBI. The study comes to the conclusion that CBI is essential to India's capacity to continue developing its economy. India's government ought to keep enacting laws that draw in and keep international capital.

Drivers of corporate investment in India: The role of firm-specific factors and macroeconomic policy

India's investment slowdown has proved detrimental to India's growth trajectory. Prior literature has addressed the investment slowdown at macro and micro levels; however, the asymmetric effect of firm-specific variables on India's investment drivers has been overlooked. This study attempts to bridge the gap by employing firm-level data from 2001 to 2019. The findings reveal that the investment slowdown has been asymmetric with respect to the firm size and leverage, particularly in the construction, mining, and service sectors. Furthermore, this study finds that the positive impact of a higher leverage rate on investment is offset amidst a tight monetary phase stance. Nevertheless, the investment rate of over-leveraged firms has slowed because of higher interest payments and increased retained earnings. This leverage impact intensified during a contractionary monetary policy phase. In addition, Tobin's Q emerges as relevant only for investments related to firms in the sectors of manufacturing and nonfinancial services.

International Collaborative Cluster-Based Carbon Sequestration Plan

The status quo climate change forecast was analyzed using the ENROADS software and indicates that the net GHG emissions could reach about 90 gigatons of CO2 equivalent by 2100, and global temperatures could rise by 3.6°C. This projection will likely be worse even with moderate estimates. The factors used in the reported status quo forecasts are optimistic. From energy mix to population growth and the assumption that gas use could increase while oil declines, this scenario is limited by available gas reservoirs. There needs to be a more aggressive application of CCS to reach Net-Zero by 2050. Carbon Capture and Storage (CCS) has been identified as the leading technology that could help reduce the amount of CO2 emitted into the atmosphere. At the same time, the search for non-fossil fuel energy sources continues. The amount of CO2 dilution in the air stream complicates the economics of direct air capture. This research proposes two international collaborative clusters for India. Due to India's growth and use of fossil energy sources, this is necessary to manage CO2 emissions from coal-fired plants. The results show that cluster-based CCS facilities possess great potential for the world to develop faster carbon capture and sequestration technology and deploy it faster. These cluster CCS systems will create economies of scale and integration necessary to make the CCS technology succeed to help reduce India's and global CO2 emissions from fossil-fuel-powered electricity generation. If CCS is deployed at the proposed scale, it will reduce atmospheric CO2 significantly, which would capture more than 250 times more than today's effort.

IMPACT OF EXPORT AND IMPORT ON ECONOMIC GROWTH IN INDIA

IMPACT OF EXPORT AND IMPORT ON ECONOMIC GROWTH IN INDIA

ASSOCIATION OF ELECTRICITY CONSUMPTION, ECONOMIC GROWTH AND FDI IN INDIA

India is one of the largest producer and consumer of electricity in the world owing to being one of the most populous country in the world signifying the demand for electricity is only set to grow further. World has witnessed an era of economic growth aided pertinently by electricity consumption and growing demand. With FDI indorsed downright to this vital utilities sector, it becomes imperative to cognize the relationship of Electricity Consumption, Economic Growth and FDI in India. In this study we investigate the causal direction of relationship among Foreign Direct Investment, Electricity Consumption and Economic Growth in India by using time-series data for the period 1986–2021 and employing econometric models. We find two uni-directional causalities running from Electricity Consumption to Economic Growth and Economic Growth to FDI and a bi-directional causality between Electricity Consumption and FDI. The results of the study provide a novel perspective for policy makers while formulating policies related to the power sector and foreign direct investments in India. The focus of Policy makers should be on enabling electricity service providers to offer best services to commercial and non-commercial participants as it aids in Economic growth of the country. For enhanced economic growth a country like India must have good and world-class infrastructure, efficient and effective regulatory mechanism equitable for all stakeholders, an improved living standard for people of all economic strata and a stable, healthy business friendly environment coupled with policy stability through stable government.

Causal Relationship between Exports, Imports, and GDP during COVID-19 Pandemic: Evidence from an Emerging Economy

The unexpected COVID-19 global pandemic has posed new challenges for global trade. Consequently, during the COVID-19 pandemic, the entire world has stagnated its economic growth; this is reflected in India's growth. The growth is contributed by effective foreign trade and its policies. The COVID-19 pandemic has opened up a new avenue to understand the contribution of trade to economic growth. The current study is aimed to understand the performance of Indian foreign trade in the light of select agricultural and non – agricultural products in COVID-19 pandemic. The study results confirm that exports and imports have drastically declined due to India's global pandemic and economic lockdown. Somehow it is recovered gradually but not as it was before the pandemic. The study also found that bidirectional causality has existed between India's GDP and imports during the COVID-19 pandemic.

75 Years of India's Economic Development: Evaluation, Challenges, and Way forward

After 75 years of India's Independence, India is now one of the fastest-growing economies; hot FDI destinations of the World; India is the sixth-largest economy globally, with a GDP of $2.66 trillion. India is the world's largest producer of milk, pulses, and jute and ranks as the second-largest producer of rice, wheat, sugarcane, groundnut, vegetables, fruit, and cotton. It is also one of the leading producers of spices, fish, poultry, livestock, and plantation crops. (FAO 2018), It also produced 25 percent of the world's pulses, as of last decade, until 2019. (1BEF, 2021) Whereas India still has many areas of concern. Despite having food security, India has 97.7 million living below the poverty line, which is around 6 percent of the population in 2021, as per the World Poverty Clock.; India's rank is 66 out of 109 countries in United Nations Global Multidimensional Poverty Index 2021: India ranked 101st out of 116 countries in the Global Hunger Index 2021. India ranked 131 out of 189 countries on the U.N. Human Development Index 2020; India ranked 139 out of 149 countries in U.N. World Happiness Index 2021. In this research article, the data of major socio-economic factors are analyzed to track the journey of India's growth in the past 75 years and has analyzed it using simple statistical tools like percentage and growth rate. The data about 75 years of India's Independence, GDP, Per capita Income Growth, Capital formation, Savings, Foreign Trade, Agriculture, Indebtedness, Industry, MSME, Infrastructure, Poverty, Inequality are analyzed, and meaningful analyses were drawn. The Challenges to the Indian economy, the way forward, and the lessons India can learn from China and South Korea are also discussed. India can surge ahead to its potential and celebrate the 100th year of India's Independence as a World Economic Superpower if India invests 6 percent of its GDP in imparting quality skill education, 4 percent of its GDP on providing quality health; increase the domestic capital formation to 40 percent, create world-class.

An Econometric Analysis between Foreign Trade and Economic Growth in India

Foreign trade or international trade is one of the key indicators of country’s economic growth. Economic development is considered as one of the major concerns for any developing countries like India. India’s foreign trade plays a pivotal role in ascertaining the performance of GDP growth in a country.The present study examines the relationship between export, import, trade openness and economic growthof India using the secondary sources from 1997-2021collected from World Bank Database.The analysis of the series has been carried out accordingly with the help of Augmented Dickey Fuller (ADF) Test, Johansen Co-integration, Vector Error Correction Estimates and Granger Causality Test using EViews-12.

SOURCES OF PRODUCTIVITY GROWTH IN INDIAN MANUFACTURING INDUSTRY

SOURCES OF PRODUCTIVITY GROWTH IN INDIAN MANUFACTURING INDUSTRY

कोविड १९ चा भारतीय अर्थव्यवस्थेवर परिणाम (COVID-19 Effects on Indian Economy)

Marathi Abstract: भारतीय अर्थव्यवस्था आपल्या उर्जितावस्थेत असताना, तसेच सण 2014 पासून निरंतर कमी होता चाललेला विकास दर यात ताळमेळ घालत असताना त्यात 2020 वर्षाच्या सुरवातीलाच Covid 19 ची झड अर्थव्यवस्थेला पोहचली असल्याचे चित्र आज आपल्या समोर दिसते आहे. चीन या देशातून सुरु झालेला कोरोना हा संसर्ग जन्य आजार आज संपूर्ण जगभर आणि भारत भर पसरत चालला आहे. या आजाराने आजवर जगभर 41,94,728 च्या वर मनुष्यबडी घेतलेला आहे. आणि त्यात निरंतर वाढ होत असल्याचे आपणास दिसते आहे. विकसित तसेच विकसनशीलन देश याच्या प्रभावातून सुटलेले नाहीत. या Covid 19 चा परिणाम हा मानवाच्या अस्तित्वावर प्रश्न चिन्ह निर्माण करणारा ठरत आहे. प्रश्न निर्माण होतो आहे तो जगण्याचा आणि जिवंत राहण्यासाठीची साधने टिकविण्याचा. आजपर्यंतच्या विकासाला Covid 19 मुळे खिड लागत चालली आहे. केलेला विकास कसा टिकवायचा याची नव्याने उपाययोजना यातून निर्माण केल्या जाईल पण तोवर पोहचलेली झड भरून काढणे कठीण आणि श्रमाचे काम ठरणार आहे. भारताने स्वीकारलेल्या लॉक डाउन चा परिणाम हा पूर्ण अर्थव्यवस्थेवर पडलेला आहे. यातच जागतिक पातडीवरील अनेक संस्थांनी भारताचा विकास दर 0% राहण्याचे संकेत दिलेले आहेत.English Abstract: While the Indian economy is in its infancy, the festival has been steadily declining since 2014 COVID-19 at the beginning of 2020 while the current growth rate is adjusting. Today we see the picture that Chi Zad has reached the stage of Athavadayavastha. From this country of China Coronavirus is a contagious disease that has spread all over the world and all over India Is. The disease has killed over 41,94,728 people worldwide to date. And so on You can see the growth. Of developing as well as developing countries Not escaped the influence. The result of this COVID-19 is a question mark over human incompetence Is becoming a builder. The question is how to survive and live Tooling. To date, growth has been hampered by COVID-19. Done The river will be the solution to how to stop the development, but until then It will be difficult and laborious to fill in the gaps. Locks accepted by India The downfall has had a devastating effect on the economy. This includes many areas on the world stage Institutions have shown that India's growth rate is expected to remain at 0%. Some of them have not been studied due to the impact on the Indian economy The emphasis will be on suggesting solutions.

Mumbai's business landscape: A spatial analytical approach to urbanisation

India has proven to be one of the most diverse and dynamic economic regions in the world. Its industry focuses predominantly on the service sector and immediate economic growth seems to steer India into the economic superpower. India's unique business landscape is felt at a regional level, where massive urbanization has become an unavoidable consequence of population growth and spatial allocation to the economic hubs of metropolitan cities. Mumbai, one of the world's largest cities, represents a unique combination of a diverse economic landscape and the growth of a megacity. The role of Mumbai in India's growth is of crucial importance for India's business landscape. This paper explores the massive urbanization processes of Mumbai's peri-urban areas and compares urban sprawl with the location of its business landscape. A spatial accounting methodology based on the proximity of Mumbai's different economic hubs will be used to measure the underlying pattern of the Mumbai region, concerning past and present urbanization, and the effect of this urbanization process has on the possible location of businesses. This business-urban ecosystem perspective will be implemented by a spatial analysis on the correlation between urban compactness and urban footprints, in relation to business concentration and its spatiotemporal evolution over the last hundred years.

E-Commerce at the Bottom of the Pyramid: Remodelling Perspectives of Rural Consumer Behaviour by Pragya Singh, Indrajit Ghosal and Bikram Prasad. New Delhi: Anu Books, 2020 (ISBN: 978-81-947224-1-0)

Marketing infrastructure includes all those facilities and amenities needed for the smooth conduct of marketing in the economy. The infrastructural facilities in development are as necessary as foundations of a building. The existence of adequate marketing infrastructure are important not only for the performance of various marketing functions and expansion of the size of the markets but also for the transfer of appropriate price signals leading to improved marketing efficiency. The availability of different infrastructures affects the choice of technology to be adopted, reduces the cost of transportation, produces powerful impetus to production and also affects income distribution in favour of small and marginal farmers by raising their access to the market. The agriculture sector needs heavy investment for creation of basic infrastructures necessary for the overall economic development. In a developing country like India, marketing infrastructures play a pivotal role in fostering and sustaining the tempo of rural and economic development. Marketing is as critical to better performance in agriculture as farming itself. Though the role of infrastructure is the key element of any development programme yet their role in distribution and marketing is the supreme. India's growth both as agriculturally and horticultural advanced country may get derailed if various marketing infrastructural constraints are not removed. Many of the regions of the country still suffer from the existence of infrastructural problems that they threaten to torpedo the region's agricultural and horticultural development efforts. In this paper an attempt has been made to examine the status of different agricultural marketing infrastructures, their geographical spread in the different states of India and also the policy measures for strengthening of these infrastructural facilities. Besides this other marketing infrastructure, which has been set up in the specialized form of organization, has also been just mentioned for information.

Effectiveness of Foreign Aid to India in Post-Liberalization Era: The Self-Reliant India Expedition

The present study attempted to configure an ARDL model depicting the short and long-run effectiveness of foreign aid from the World Bank on India's growth and development. Analyzing the annual time series data of 27 years (1991 to 2017), the study indicated the effectiveness of foreign aid for economic growth in short-run and economic development in the long-run. However, with domestic savings in the country, foreign assistance only played a supportive role. Therefore, a self-reliant country like India favoured foreign assistance. The study suggested that India's Government focuses on making out policies and providing proper implementation and assistance from foreign financial assistance. Policy guidelines must be aimed at setting up a committee to review the proper utilization of foreign aid periodically. It would embark the effectiveness of foreign in the economic growth and development of the country.

The Economic Impact of the First Trend Coronavirus (COVID-19) in India

The first trend of the Corona virus in India has been hugely confused. The World Bank and the credit rating agencies have reduced India's growth for the year 2021. The major companies have provisionally suspended their operations. Majority of the companies postponed their operations and the state governments have proclaimed financial assistance for the various unorganized sector. According to the survey of FICCI nearly 53 per cent of the businesses shutdowns due to the COVID-19 in India. Several businesses such for example hotels, airlines are hurtful salaries. Due to these problems the tea estates were unable to harvest because of the unavailability of labours. The production of two wheeler and four wheelers companies stopped their production till the further announcement. Due to the lockdown, various sector of the economy severely affected such as transport, banking, railways, construction and engineering etc.

Three decades of narrow globalization: Evaluating India's exports between 1991 and 2017

Thirty years of globalization has bolstered India's exports. Although globalization has been a contributor to India's growth, experiments with globalization have been regional, not global. The study examines the impact of globalization on India's exports to 154 exporting destinations for 1991–2017. Poisson pseudo‐maximum likelihood estimator is used to estimate the gravity model of trade. The study shows evidence of slowbalization, defining narrow and broad globalization. The empirical evidence presented in the paper also validates Linder's hypothesis. The analysis of speed and rate of convergence points to a trade potential with 102 trading partners of India.

Does fiscal decentralization promote economic growth? An empirical approach to the study of China and India

PurposeThe authors test the effect of expenditure decentralization and fiscal equalization on short- and long-run economic growth and estimate two-step generalized method of moment (GMM) simultaneous equations models, using panel data for China and India for the period 1985 to 2005. The authors estimate two simultaneous equations: a growth equation and equalization equation and find that expenditure decentralization has a negative and statistically significant effect at conventional levels on short-run economic growth for both China and India. However, the authors also find that this result is sensitive to the set of included explanatory variables. This leads the authors to conclude that expenditure decentralization has no effect on short-run economic growth for either country. The authors also find that expenditure decentralization has a positive and statistically significant effect on fiscal equalization for both countries but find no evidence that fiscal equalization affects short-run economic growth for either China or India. In contrast, the authors find that expenditure decentralization has a positive effect on long-run economic growth in the case of India, but not in the case of China. Finally, the authors report evidence that fiscal equalization has no effect on long-run economic growth in the case of China; however, the authors find that equalization has a positive and statistically significant at conventional levels effect on long-run economic growth in India.Design/methodology/approachThe authors estimate two-step GMM simultaneous equations models, using panel data for China and India for the period 1985 to 2005. To examine the effect of fiscal decentralization (FD) policies on economic growth in China and India, the authors estimate two equations: a growth equation and an equalization equation. For the growth equation, the authors adopt a production-function-based model that is widely used in the empirical literature on growth; however, the authors do make some compromises with this specification due to the unavailability of certain data. For the equalization equation, the authors include variables that economic theory and empirical evidence suggest influence fiscal disparities among subnational governments which in turn influence the demand for horizontal fiscal equalization (HFE). To the extent possible, the authors employ the same econometric specification, variable constructions and sample periods for both China and India. The authors believe this strategy provides a more rigorous test of the FD hypothesis.FindingsThe authors find that expenditure decentralization has a negative and statistically significant effect at conventional levels on short-run economic growth for both China and India. However, the authors also find that this result is sensitive to the set of included explanatory variables. This leads to conclude that expenditure decentralization has no effect on short-run economic growth for either country. The authors also find that expenditure decentralization has a positive and statistically significant effect on fiscal equalization for both countries but find no evidence that fiscal equalization affects short-run economic growth for either China or India. In contrast, the authors find that expenditure decentralization has a positive effect on long-run economic growth in the case of India, but not in the case of China. Finally, the authors report evidence that fiscal equalization has no effect on long-run economic growth in the case of China; however, the authors find that equalization has a positive and statistically significant at conventional levels effect on long-run economic growth in India.Research limitations/implicationsDue to the importance of FD policies, especially to many developing countries that are currently pursuing decentralization reforms, future research should examine the effect of FD on economic growth for other countries. Furthermore, although it would be difficult to do so, future research should examine whether FD promotes political stability on ethnically diverse countries.Originality/valueTo the best of the authors’ knowledge, no one has examined the effect of FD policies on India's growth experience. What is more is that this is also the first of its kind to have a comprehensive empirical investigation into these two major developing countries with very interesting similarities and differences in FD policies. It is thus of great importance to examine the effect of expenditure decentralization and HFE on economic growth in China and India.