Make in India A major national initiative designed to facilitate investment, foster innovation, enhance skill development, protect intellectual property, and build best-in-class manufacturing infrastructure. There has never been a better time to Make in India.
India is the fastest growing large economy in the world today an impressive position it has held since it overtook China in the year 20151 with the International Monetary Fund (IMF) predicting that India is likely to retain the status till 2020. With the Gross Domestic Product (GDP) of the country growing at more than 7% since 2014, the IMF has kept projections for India's growth in 2016-2017 at 7.5%2, which is remarkable since there has been a forecast of the global growth predicted at 3.4% (2016) / 3.6% (2016).3 India is also the third-largest economy in the world regarding its purchasing power parity according to the World Bank with the GDP5 of over USD 2.1 trillion.5 It was named amongst the top 10 Foreign Direct Investment (FDI) destination in 2015.
The government of India has already taken several steps for some much-needed change in the country. Numerous national developmental projects have been launched in the recent years which cover a wide array of sectors to initiate economic reform as well as target social change. Complementary to "Make in India" that aims to promote the 25 sectors identified for investment in manufacturing, the government has also launched progressive initiatives like:
Digital India: The initiative will connect rural areas with high-speed internet networks, boost electronics manufacturing, transforming India into a digitally empowered society and knowledge economy.
Start Up India: The initiative aims at fostering entrepreneurship and promoting innovation by creating an ecosystem that is conducive to growth of Start-ups.
Skill India: An initiative will aim at encouraging the development of skill force across India by including the National Skill Development Mission, National Policy for Skill Development and Entrepreneurship 2015, Pradhan Mantri Kaushal Vikas Yojana (PMKVY) scheme and the Skill Loan scheme. Over 400 million people will be trained in various skills by 2022.
Pradhan Mantri Jan-Dhan Yojana (PMJDY): This program plans to ensure access to different financial services like availability of basic savings bank account, access to need-based credit, remittances facility, insurance and pension to the classes in society that economically-challenged.
Smart City: This is an urban renewal and retrofitting program with a mission to develop 100 cities all over the country making them citizen friendly and sustainable.
India ranked low on the World Bank's report of 'Ease of Doing Business', having been cited to have a myriad of regulations and bureaucratic red tape. But with the recent changes brought by the government, it has risen by 12 ranks to 130 in the last 2 years.8 The government aims to be in the top 50 ranks by next 3-4 years.
Measures have been taken accordingly to cut down red tape and to lay down the red carpet, by diminishing human interface and make the system efficient with technology. Furthermore, the introduction of Insolvency & Bankruptcy law will help in speeding revival and closing of companies. Other initiatives include labour reforms and the launch of an E-Biz platform along with the assessment of State Implementation of Business Reforms. The idea is to enforce administrative and procedural changes which will create a conducive environment for setting of new business and improving confidence amongst investors. Simplification of procedures and rules will save the industry time and costs which will also improve competitiveness for numerous sectors.
With the country already witnessing an increase in FDI by nearly 44% since the launch of such initiatives, India seems on its way to achieving its stated target with the government leading the way. "Make in India" is the proof that the nation is willing to embrace growth by adopting changes on the journey to becoming an economic superpower.
Source: Government websites on Make In India
