New Delhi: Replying to the debate on the Motion of Thanks to President’s address in Rajya Sabha on Thursday, Prime Minister Narendra Modi shed light on the historical economic challenges faced by India under the policies of the Congress government, specifically during the era of the ‘license raj.’
The Prime Minister dwelt upon how these policies, which required people to obtain licenses and permits to buy almost anything, literally stalled India’s economic growth.
He highlighted how such restrictions, resulting from the economic failures of the government of that time, left the country at one of the slowest growth rates globally.
Addressing the MPs in Upper House, PM Modi slammed the Congress and remarked: “This weak growth rate, this failure, led to the term ‘Hindu rate of growth’ being coined in the world. It was an insult to an entire society, a reflection of the failure of those in power. Due to the economic mismanagement and wrong policies of the ‘Shahi Parivar’, the entire society was blamed and defamed worldwide.”
The phrase ‘Hindu rate of growth’ became synonymous with the slow pace of economic development that India experienced in the post-independence decades.
According to political analysts the country embraced socialist policies during the Nehruvian era, which was opposed to any move that encouraged private enterprise and entrepreneurship.
These policies, rooted in a protectionist and central planning approach, resulted in a stifled economy with limited scope for growth, which in turn led to the term “Hindu rate of growth” becoming a global symbol of India’s economic stagnation.
However, the Prime Minister’s words also drew attention to the changing tide of India’s economic scenario today.
Under the current NDA government led by PM Modi, India is experiencing rapid economic growth and is now among the fastest-growing major economies in the world.
PM Modi’s remarks serve as a reminder of the transformation the country has undergone over recent decades, leaving behind the constraints of the license raj.
Historically, the term ‘Nehruvian’ was also linked with economic stagnation, as the Nehruvian rate of growth, caused by misaligned socialist policies, was labelled the “Hindu rate of growth”, say analysts.
According to economic experts, today, India’s rise as a leading economy with one of the fastest growth rates marks a new chapter, breaking free from the shackles of old policies.
With an increasingly liberalised economy, reforms aimed at boosting the ease of doing business, and a focus on technological advancement, India is now poised for sustained growth and development, showcasing a stark contrast to the slow and inefficient pace of the past.
(IANS)
