The Bharatiya model of economic development is a counter-narrative to the unbridled capitalism and static communism
Traditionally, the global approach to economic development and distribution has confined itself to two models of economic prosperity: Communism-socialism and capitalism. The Western world champions the cause of capitalism, which is based on free individual-led capital growth, unregulated market economy, its ethos of free trade, maximum profit and minimal state interference. In contrast, communism is a state-controlled economy where the state not only regulates the economy but also runs it.
Communism has collapsed and the inherent contradictions of the capitalist world are making it weak, fragile and unsustainable. Beyond this binary, however, there is a way which is the Bharatiya model of economic development, which is a counter-narrative to the unbridled capitalism and static communism. This Bharatiya model is an Indianised way of economic development and prosperity. This model has its roots in Indian culture and it was espoused in a coherent form by the post-Independence Indian thinker, Dattopant Thengadi.
India has seen a shift in its economic policies since 2014. The economic policies followed by the present regime are ideologically mentored by the Indian economic ethos which is perceptibly and contrastingly different from the binary of the capitalist-socialist model. This Bharatiya economic model has started paying its dividends which are being reflected in major economic indicators such as GDP growth rate, India emerging as an economic superpower and massive welfare-distributive measures. So much so that a near impossible miracle of attaining the export target of $400 billion has been achieved in March 2022.
Some of the salient features of the Bharatiya model of development are:
Economic analysts look for economic indicators such as benchmarks in exports from two perspectives: Temporary phenomenon or structural change. The Bharatiya model is being executed since 2014 and is inching toward its full potential. This has resulted in structural and fundamental changes in the economy. It has also given the ‘economic sentiment’ a boost which has given the Make in India brand a global outlook. This feat of record export of $400 billion is achieved despite the unprecedented Covid-19 pandemic, uncertain global order, war in Central Asia and other domestic issues. It averages out to be export of $46 million goods every hour, $1 billion goods are exported every day and $33 billion every month.
Further, the export basket has diversified in which exports of engineering goods, petroleum and chemicals in February increased by 32 per cent, 88.14 per cent and 25.38 per cent to $9.32 billion, $ 4.64 billion and $2.4 billion, respectively. Furthermore, the welfare scheme of distribution of free food grains to 80 crore people is the distributive aspect of the Indian model which has benefited all the targeted sections of the Indian society, particularly those at the lowest rung of the poverty pyramid. It is clear that the Bharatiya model is showing its true strength now and it is the right way forward.
The writer is an independent columnist. Views expressed are personal.