Ailing Indian exports made only worse by confusing GST notifications

While efficiency-enhancing govt reform has not materialised, the persistent overvaluation of the rupee means relative prices of Indian exports globally do not get any help from that quarter either

At a time when India is once again facing a rising current account deficit, it is reasonable to ask why the problem of an inability to pay for imports, including that of fuel, is constantly arising, and how it can be minimised in the future. And the answer to both questions is related to the government’s failure to boost Indian exports. For a long period, exports from India were largely stagnant, although some signs of revival have been visible in recent months. On the one hand, efficiency-enhancing reform has not materialised sufficiently. Physical infrastructure or administrative ...