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Since India is still a developing country, its economy is crowded with problems ranging from unemployment, poverty, sorry state of affairs in education, health and so on. The progress achieved so far since independence is at a snarl's pace. However, with adaptation to market economy, the whole scenario has changed drastically. The main problems right now are Current account deficit and adverse balance of trade. Since crude oil figures 40% of our total import bill, any price rise thereof hits the Indian economy badly. At the moment, importation of gold for domestic consumption captures second position in our import list. While software and allied services has huge export potential, unstability in world market has a repercussion on India's export segment. Though FII plays an important role in minimizing trade deficit. However, outflow at any moment, makes an uncertainty towards stability in current account. With a satisfactory foreign exchange reserve and watchdogs like Sebi, Irda, RBI keeping constant watch of various developments, the future scenario is not as gloomy as predicted by renowned market rating agencies.
Flossie Kozey
Wiki User
∙ 8y agoSince India is still a developing country, its economy is crowded with problems ranging from unemployment, poverty, sorry state of affairs in education, health and so on. The progress achieved so far since independence is at a snarl's pace. However, with adaptation to market economy, the whole scenario has changed drastically. The main problems right now are Current account deficit and adverse balance of trade. Since crude oil figures 40% of our total import bill, any price rise thereof hits the Indian economy badly. At the moment, importation of gold for domestic consumption captures second position in our import list. While software and allied services has huge export potential, unstability in world market has a repercussion on India's export segment. Though FII plays an important role in minimizing trade deficit. However, outflow at any moment, makes an uncertainty towards stability in current account. With a satisfactory foreign exchange reserve and watchdogs like Sebi, Irda, RBI keeping constant watch of various developments, the future scenario is not as gloomy as predicted by renowned market rating agencies.
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What are the central economic problems?
the central economic problems faced by the economy are what to produce,how to produce,for whom to produce,how to achieve the fuller utilisation of resources
Why is it important to solve macroeconomic problems in Indian economy?
Macroeconomic problems in India's economy can have an effect on all nations. When India has a large budget deficit it causes financial difficulties that effect all nations.
Impact of budget on the Indian economy?
What is the impact of budget on th Indian economy?
What are the basic problems of the economy?
The basic problems arise when an economy is facing recession. If one economy goes into crisis, the other economy will also suffer from problems. U.S. Imports many of the products from India. If a crisis occurs in U.S., Indian exports will see a decline if US decides to cut back its imports to decrease its negative account balance. The 3 basic problems are:- 1.) What to produce? 2.) How to produce? 3.) For whom to produce? asfkas.
What is role of LIC's in Indian economy?
Check out the related link on LIC's role in the Indian economy.
Problems faced by present Indian sports and games?
present & future of Indian sports
What problems are faced by women in Indian community?
there are various probs.
What are problems faced by Indian waterways and its solutions?
what solutions can be done for waterways
Problems faced by an Indian student in making assignment while studying abroad?
Problems faced by Indian students with assignments while studying abroad could be not understanding the cultural difference, and not understanding the language.
What problems did Rhode Island face?
The problems it faced was going through the revolutionary war and the french and indian war.
What are the problems faced by Indian banks?
Similar to those face by all other banks
What were some problems the Rhode island colony had?
The problems it faced was going through the revolutionary war and the french and indian war.
What are the central economic problems?
the central economic problems faced by the economy are what to produce,how to produce,for whom to produce,how to achieve the fuller utilisation of resources
What hardships did the homesteaders face on the great plains?
They faced all of kinds of problems Hostile Indian,drought,and criminals to name three problems
What are the major problems faced by Indian tribes?
Some problems that face Native Americans today are lack of jobs and health problems. Many have had to move off of reservations in order to find work, which has caused a loss of customs and identity.
What was a challenge Congo faced?
The Dr. Congo face many problems such as the grammatically spread of the insecurity , the instability of economy and the rising of corruption
Europeans crossing the Atlantic faced all the following problems during the journey across the Atlantic except?
Indian Attacks.
