Skip to content
Search

Latest Stories

Indian government needs to prioritise land, labour reforms: Analysts

PRIME MINISTER Narendra Modi should prioritise land and labour reforms in his second term, analysts said Thursday (23).

The people's verdict - which has the National Democratic Alliance (NDA) cruising to power such that the BJP will itself have a comfortable majority - will ensure in policy continuity, they said.


Domestic rating agency Crisil said the policy continuity presents at "opportunity to push tougher reforms particularly - land and labour".

It added that the economy is undergoing a cyclical downturn at present which has seen a dip in growth to the seven per cent levels.

The agency's peer Care Ratings said the developments on the political front are extremely positive for the economy as the government can continue to pursue its economic framework "without any legislative hindrance as the majority is absolute".

It said labour reforms are necessary from the point of industrial flexibility as well as employment generation and asked for it to be looked into in a time-bound manner.

A re-look is needed on land acquisition policies, it said, adding that this will help get investments from foreign and private capital.

American brokerage Goldman Sachs suggested the land reforms can include transparent auctions and digitisation on the land front, an enabling environment for labour.

The government should also look at privatisation - a politically sensitive issue - beyond being a source of revenue, Care Ratings said, adding such a measure will help in efficiency enhancement.

Crisil advised the government to take long pending hard decisions upfront and also create necessary fiscal space for infra spending.

Among other priorities, it should also look at financial sector distress, ease out GST and IBC frameworks and address the distress in the farm sector.

Both the rating agencies said employment creation lack of which was attempted to be exploited by the Opposition in the campaign should be a key focus for the new government.

"Unlike the BJPs first term, where prudence came at the cost of growth, the policy priority in the second term will be reigniting growth with prudence as a secondary priority," analysts at the Japanese brokerage Nomura said.

Watchers will be keenly looking at the composition of key Cabinet ministers, it added.

Private sector lender Yes Bank's chief economist Shubhada Rao said boosting rural consumption, the troubled non-bank lenders and wading through the global trade war will be the immediate economic priorities for the new government.

(PTI)

More For You

Knife crimes

Knife-enabled crimes include cases where a blade or sharp instrument was used to injure or threaten, including where the weapon was not actually seen.

Getty Images/iStockphoto

Knife crime in London accounts for a third of national total: ONS

KNIFE-RELATED crime in London made up almost a third of all such offences recorded in England and Wales in 2024, with the Metropolitan Police logging 16,789 incidents, according to figures released by the Office for National Statistics (ONS) on Thursday.

This amounts to one offence every 30 minutes in the capital and represents 31 per cent of the 54,587 knife-enabled crimes reported across England and Wales last year. The total number marks a two per cent rise from 53,413 offences in 2023.

Keep ReadingShow less
Starmer and Modi

Starmer and Modi shake hands during a bilateral meeting in the sidelines of the G20 summit at the Museum of Modern Art in Rio de Janeiro, Brazil Brazil, on November 18, 2024.

Getty Images

Starmer calls Modi over Kashmir attack; expresses condolences

PRIME MINISER Keir Starmer spoke to Indian prime minister Narendra Modi on Friday morning following the deadly attack in Kashmir’s Pahalgam region that killed 26 people on Tuesday.

According to a readout from 10 Downing Street, Starmer said he was horrified by the devastating terrorist attack and expressed deep condolences on behalf of the British people to those affected, their loved ones, and the people of India. The two leaders agreed to stay in touch.

Keep ReadingShow less
 Post Office Horizon

A Post Office van parked outside the venue for the Post Office Horizon IT inquiry at Aldwych House on January 11, 2024 in London, England. (Photo: Getty Images)

Getty Images

Post Office spent £600m to keep Horizon despite plans to replace it: Report

THE POST OFFICE has spent more than £600 million of public funds to continue using the Horizon IT system, according to a news report.

Despite deciding over a decade ago to move away from the software, the original 1999 contract with Fujitsu prevented the Post Office from doing so, as it did not own the core software code, a BBC investigation shows.

Keep ReadingShow less
Pahalgam attack: Prayer meet held at Indian mission in London

The prayer meet was led by Indian High Commissioner to the UK Vikram Doraiswami

Pahalgam attack: Prayer meet held at Indian mission in London

Mahesh Liloriya

A PRAYER meet was held at the Gandhi Hall in the High Commission of India in London on Thursday (24) to pay respects to the victims of the Pahalgam terrorist attack.

Chants of ‘Bharat Mata Ki Jai’ rang out at the event which was led by Indian High Commissioner to the UK Vikram Doraiswami.

Keep ReadingShow less
UK  mini heatwave

Sunny conditions will bring early summer warmth

Getty

UK to see mini heatwave as temperatures climb towards 24 °c

The UK is set for a period of warmer weather in the coming days, with temperatures expected to rise significantly across parts of the country. According to the Met Office, a spell of dry and sunny conditions will bring early summer warmth, although it will fall short of the threshold for an official heatwave.

Temperatures in south-eastern and central England could reach 23°c to 24°c by Tuesday, around 10C above the seasonal average for some areas. The Met Office described this as a “very warm spell” rather than a heatwave, though the contrast with recent cooler weather will be noticeable.

Keep ReadingShow less