Fiscal Deficit, PPP, tightening of belts
Montek Singh our man, is recently honoured in LSE and the lecture he gave was excellent. India will concentrate more on domestic demand growth rather than depend on export promotion. If all outside countries are poor, and cannot afford, then what is the point in expecting export oriented growth? PPP models will have to be reviewed too for the excessive capital costs wantonly built in, expecting lots of aid money and also financed by the government through increased fiscal deficit. The real capital cost is getting boosted by two to three times to take care of interests of political, bureaucratic and business players serving the development of infrastructure in the nation. The simplest example is to compare the figures cost of Delhi Metro itself--our show piece. In Goa, at a total cost of Rs 34 cr per r. km( double line) elevated metro for Standard and broad gauge , with very deep pile foundations, all pre-stressed structure, was constructed which included station, air conditioning , rol...