Insurance and aviation Bills are up in the sleeves of the UPA government. They can take it out at any time. Disinvestment and privatisation are the other two main areas of Interest. It is a fact that during the Congress government, some quick changes in the political scenario of the country have taken place. Dr Manmohan Singh was the main architect of these reforms. During the last tenure of the UPA government, the country’s growth rate witnessed an immediate jump- from the five-plus figure of the National Democratic Alliance (NDA) rule to nine per cent during UPA regime.
The atomic energy agreement with the US was another milestone of their rule. But the Left parties left the Union and protested against it. The proposed hike in FDI in the insurance sector was another area where the Left had disagreement. Another was with the pension fund dissolving. These things didn’t happen only because of the protest of the Left parties. Now the UPA has the numbers, which can defeat a No Confidence Motion. If they move blindly in order to satisfy the corporate, it will prove wrong in the long term. But they have to look after the country’s growth rate also.
Indian rupee regained its strength in three days after the election results. This is a clear sign, which indicates that FIIs are way back in their road to Indian capital market. History says that Sensex reached 14,000 mark due to the buying interest of the Indian retail investors. After that, the gain of 7000 points was made by the FIIs. If this happens again, then market will surge. But the government will have to look after the problems of the common man also. As recession shows withdrawal syndrome, there are many green signals ahead for the Indian economy.