#GS2 #Governance #GS3 Economy
Key Notes :
- PM announces special economic package; comprehensive package of Rs 20 lakh crore.
- Total package equivalent to 10% of India’s GDP.
- Calls for self-reliant India;
- Lays down five pillars of Atmanirbhar Bharat.
Atmanirbhar Bharat Abhiyaan
- Prime Minister announced a special economic package and gave a clarion call for Atmanirbhar Bharat.
- He noted that this package, taken together with earlier announcements by the government during COVID crisis and decisions taken by RBI, is to the tune of Rs 20 lakh crore, which is equivalent to almost 10% of India’s GDP.
- He said that the package will provide a much needed boost towards achieving ‘Atmanirbhar Bharat’.
- Prime Minister observed that the package will also focus on land, labour, liquidity and laws.
- It will cater to various sections including cottage industry, MSMEs, labourers, middle class, industries, among others.
- Several bold reforms are needed to make the country self-reliant, so that the impact of crisis such as COVID, can be negated in future.
- These reforms include supply chain reforms for agriculture, rational tax system, simple and clear laws, capable human resource and a strong financial system. These reforms will promote business, attract investment, and further strengthen Make in India.
- Self-reliance will prepare the country for tough competition in the global supply chain, and it is important that the country wins this competition.
- The same has been kept in mind while preparing the package. It will not only increase efficiency in various sectors but also ensure quality.
- Package will also focus on empowering the poor, labourers, migrants, etc., both from organized and unorganized sectors.
- He observed that the crisis has taught us the importance of local manufacturing, local market and local supply chains. All our demands during the crisis were met ‘locally’. Now, its time to be vocal about the local products and help these local products become global.
- Talking about the pre and post COVID worlds, Prime Minister observed that in order to fulfill the dream of making the 21st century India’s, the way forward is through ensuring that the country becomes self-reliant.
- Talking about turning a crisis into an opportunity, he gave the example of PPE kits N-95 masks, whose production in India has gone up from almost being negligible to 2 lakh each, on a daily basis.
- The definition of self-reliance has undergone a change in the globalized world and clarified that when the country talks about self-reliance, it is different from being self-centered.
- India’s culture considers the world as one family(Vasudhaiva kutumbkam), and progress in India is part of, and also contributes to, progress in the whole world. He noted that the world trusts that India has a lot to contribute towards the development of the entire humanity.
Five pillars of a self-reliant India
Self-reliant India will stand on five pillars viz.
- Economy, which brings in quantum jump and not incremental change;
- Infrastructure, which should become the identity of India;
- System, based on 21st century technology driven arrangements;
- Vibrant Demography, which is our source of energy for a self-reliant India; and
- Demand, whereby the strength of our demand and supply chain should be utilized to full capacity. He underlined the importance of strengthening all stakeholders in the supply chain to increase, as well as fulfill, the demand.
Living with COVID
- Prime Minister noted that several experts and scientists have said that the virus is going to be part of our lives for a long time.
- But, it is also important to ensure that our life does-not revolve only around it. He exhorted people to work towards their targets while taking precautions like wearing masks and maintaining ‘do gaz doori’.
- On the fourth stage of Lockdown, he said that its contours will be completely different from those seen yet. On the basis of recommendations received from states, new rules will be framed, and information about the same will be conveyed before 18th May.