Recast policy
This refers to ‘India’s growth is riddled with contradictions’ (October 20). One tends to agree with the findings since in a country like India with wide income disparities, various parameters applied to measure growth should uniformly cover the entire spectrum of society without getting skewed in favour of the top 10 per cent which almost own about 80 per cent of national income.
GDP seems to be the main criteria applied to measure ‘growth’. India lags in other vital parameters like per capita income, hunger and poverty indices, female labour force participation, etc. With widening trade gap due to surge in imports and dwindling exports, forex reserves are bound to come under increased pressure. Also, with the US on a rate hike spree and recession looming large in the US, the UK and Europe, these are bound to have a cascading effect on developing countries like India. The policy measures lack the intensity in creating job opportunities for the educated middle class, which alone would fuel private consumption that constitute about 60 per cent of India’s nominal GDP.
Srinivasan Velamur
Chennai
Challenges await Kharge
This refers to ‘Kharge’s challenge’ (October 20). As expected, Mallikarjun Kharge has been elected as president of the Congress party. Hopefully, he will have a smooth run as he has the blessings of the Gandhi family. But considering the situation the Congress is in there are more than a few challenges that awaits him. He will have to not only ensure that he keeps the flock together but be flexible to concede space for regional parties as and when required. He will have to come out with a political and economic vision for the country to clearly communicate with voters who have moved away from the grand old party.
Bal Govind
Noida
Prop up the rupee
This refers to ‘Rupee plunges 66 paise to breach 83-mark against dollar’ (October 20). The monetary actions of the RBI aren’t having the desired impact. The demand for dollars for settling import bills needs to be curtailed. Invoicing the imports of merchandise in rupee terms is vital. It is also essential to discourage imports of gold and other items which fall into the discretionary spending category. The falling value of the rupee if not controlled will widen the trade and current account deficits.
Domestic inflation is already at an elevated level and the falling rupee is further worsening the situation. The common man is finding it difficult to make ends meet. The elevated inflation is also prompting foreign investors to pull money out the capital market. Therefore, it is vital to control inflation and prevent the rupee from falling further.
VSK Pillai
Changanacherry, Kerala
Consumption habits
This refers to ‘Rabi MSP sends wrong signals’ (October 20). It is surprising that Indians as a rule prefer the less nutritious rice and wheat to the superior millets like ragi, jowar and bajra. The nutritional deficiency in India could be corrected to a large extent if we consume more coarse cereals. This would mean a change in our consumption habits.
The government needs to encourage the production of millets, pulses and vegetables instead of nutritionally useless, water-guzzling crops like sugarcane. The time has come to junk some of our traditional practices and adopt new techniques and consumption patterns if we are to address the issue of hunger.
Anthony Henriques
Mumbai