With the Gujarat Assembly Elections 2017 just two days away, the Bharatiya Janata Party (BJP) led by Prime Minister Narendra Modi and Congress, led by Sonia Gandhi Gandhi and vice-president Rahul Gandhi, are leaving no stones unturned to woo people in the state. With all eyes on the forthcoming elections that could well chart the future roadmap ahead for both the BJP and Congress, NewsX interacted with the students of the prestigious Indian Institute of Management (IIM), Ahmedabad in their own campus to understand the impact PM Narendra Modi’s economic polices, more importantly the implementation of demonetisation and GST, have had thus far.
Students of IIM, Ahmedabad, a place where one of India’s brightest mind assemble, dissected and analysed Prime Minister Narendra Modi’s economic policies with our team. After a long discussion on the big ticket reforms taken by the PM Modi-led government and its impact on traders, businessmen, industrial clusters in Gujarat and the Indian economy, the students rated the BJP government’s performance since they came to power in 2014. The discussion also focused on the timing of implementing reforms like GST and demonetisation.
Reforms that received a thumbs down from the students:
- In what can be termed as a report card by the IIM-A students on PM Modi’s tenure, the students observed that the pain for Goods and Services Tax (GST) and demonetisation was real.
- Structural reforms have impacted elections where economic issues center stage.
- On the issue of whether Gujarat traders were hit by GST or not, the GST rates hit traders the most.
- Industrial clusters in Gujarat have also been affected.
- The timing of demonetisation, GST was incorrect. There was a need for a better cushioning for the informal economy.
- Informal sector employees almost 75% of the workforce needed a better planning
Reforms that the students of IIM-A welcomed:
- The structural reforms meant for bringing the transparency in the system, thereby putting on display a political will to execute big ticket reforms.
- The Goods and Services Tax (GST) has been implemented to ensure better tax collection.
- The Indian economy is picking up again, blip is behind. Meanwhile, the job creation will pick as the growth accelerates.
Other issues of discussion with the students of IIM-Ahmedabad were:
- Moody’s upgrade impact only on formal sector
- Ease of doing business rankings captures 2 cities
- Pick up on key economic parameters to push investment