India is at crossroads. We have jumped in ease of doing business but there is a need to change mindset where entrepreneurs are appreciated. We have increased tax compliance by taking hard reforms of GST and DeMo but there is a need to change the mindset about paying taxes.
We have increased financial savings so that we can give more credit to our entrepreneurs for making the investment but there is a need to change the obsession with gold.
We have created many jobs but they need to be well-paying and value adding. We have become the largest producer of milk and horticulture in the world but need to break the cartel of intermediaries that takes advantage of farmers as well as consumers.
We have made most parts of India, other than Kashmir, free of terror but we need to find a solution to Kashmir problem. We have done well in IT services but need to do as well in manufacturing.
We have done well to control inflation by keeping tight liquidity and high real interest rates, but we now need to lower rates and pump liquidity to support growth.
We have sent lots of money to China by importing Chinese goods but now we need to support India by becoming ‘Swadeshi’.
We have become argumentative Indian by taking and debating on everything. Now we need to focus on execution. We have been divided by caste religion, region, and so many other things. We now need to be united to make India great again.
The bad part about India is that it has so many challenges. The good part about India is that there is a solution for all our issues at our hand.
In India, we have seen a Singur model where the industry was thrown out. In India, we have seen Sanand where the industry is welcomed.
This is a well-known fact. What many Indians don't know is that Singur is full of despair with the same farmers now praying for industry to come back.
Sanand hasn't become Singapore but is is better than many parts of India and certainly Singur.
In the last 70 years since independence, India has lost out to Japan, China, Taiwan, Indonesia, Philippines, Thailand, Indonesia and Sri Lanka in terms of growth.
We helped create Bangladesh in 1971. In the next few years, Bangladesh will be ahead of India in development unless we become united for growth and change the mindset to be more tax compliant, swadeshi and start appreciating entrepreneurship by voting for Sanand model and rejecting Singur model.
(The author is Managing Director, Kotak Mahindra Asset Management Company)Disclaimer: The views and investment tips expressed by investment expert on moneycontrol.com are his own, and not that of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.