Whenever a country passes thorough the economic crisis we don’t need to be happy at all. Because India too is always two steps away from an economic crisis.

We are not in state of Pakistan and Shree Lanka because some industries, some states , some bog companies are there that are running India’s growth engine. India is a big country. It is an emerging economy that is more dependent on services. One such sector that adapted well in the pandemic. But if we don’t learn the lesson of financial responsibility, we to shall move towards economic down fall like America.

America did harm in the long term to keep its people happy in the short term. India does the same in many states.

Recently there were elections in Karnataka when in total 64000 crores are being offered to the common people of Karnataka. It is thought worthy thing, how will the government pay for these subsidies?

NOTE: We have not given the example of Karnataka here to target political party. When it comes to freebies politics, all political parties are equally responsible.

Giving free electricity, free food does not solve economy problems instead, economy problems rise. We must definitely understand this. Traditional economics says that developing countries like us should run a deficit budget. This is, they should spend more and fill the gap by borrowing. This Logic is fine but where the money is spent, does the country benefit from this or not? We need to discuss this.

Addressing the Burden of Interest Payments and Ensuring Financial Stability for India’s Future.

The biggest part of our budget is that of interest payments. In FA. 2023-2024, we will pay ₹10 lakh crores only on interest payments. Availing a loan is like stealing money from future earnings. Not increasing the payment capacity of the country after taking loans only creates problems in the future. Where does money come from and how much does it come, is very important not just for center but even for states. So that no state downs in debt. It is important to everyone to keep an eye on these finances. But we only focus on spending not on revenue. We borrow 40% budget. Still, there us hardly any discussion on this. That how can the country reduce it’s forex reserve deficit, it’s current account deficit, and its budget deficit? Neither there are any concrete policy on this. We as Indians need to take our conversations in the right direction.

Because only a fool learns from his own mistakes, a wise man learns from the mistakes of others.

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