INDIA: The New Reform Package

 The reform measures announced by the Prime Minister Manmohan Singh seems to have struck at the right chords to overcome the difficult situation the Prime Minister and the congress Party were facing from the opposition and the media. On one side the P M was attacked by the opposition on Coalgate scam involving astronomical amount and on the other he was made a tragic figure of inaction. The announcement of allowing retail giants to do business in the Indian markets and granting domestic Air line space to foreign Air lines have created an aura of expectation and thrill in the markets, pushing back the 'Coalgate' issue and the 'underachiever's image for the time being. It is surprising  how quickly the scenario changed.

They were part of the package of reform measures kept in abeyance fearing repercussions both politically and economically. Although there was an earlier attempt to bring in retail giants it had to be shelved ignominiously because of the threatening stand of its allies. The very existence of the Government was put in jeopardy at that time. Although the situation has not changed now, the recent opposition and Media attacks have changed the attitude of P M and Congress party towards the life in Government and made them wiser beyond day-to-day existence. If it is death, then may as well die with honor is the motto now.

 The worst thing that can happen is the collapse of the Government and if the fall is on account bringing in some economic packages that the P.M. thinks good to the country, at least there is a chance of returning back to power again on sympathy and expectation.

Already the share prices are up and those millions of despondent people who found no way to trade their shares without loss have become cheerful and  they are expectant of a good return from their inactive shares.  The progressive decisions to boost the economy and positive Market will eclipse all other shortcomings of the Government. People actually want results and progress, corruption becomes an issue only after it and that is why the word  'coal gate' became less effective now.

The main opposition party, B J P,  is in a real identity crisis. It is said to be a rightist party but when it comes to taking a stand it sides with the left parties opposing reforms. The party is bartering intellectual honesty in its naked chase to power. One of the main reasons of their poor show in last election was their queer stand of opposing indo-U S agreement and L K Advaniji's unfounded anger against Sri Manmohan Singh. The noises presently heard from the B J P camp are also similar and it shows that they have not learned any lesson from last election.


Images: Google