1 Features and Appraisal of New Economic Policy
By:- Dr Tulsi Raman Sharma Dept of Economics GDC Theog
2 Features and Appraisal of New Economic Policy
Meaning New Economic policy or economic reform consists of all the policy measures and changes undertaken after July 1991.the main objective of the economic reforms is to increase productivity efficiency and improve the competitive environment in the economy
3 Parts and division of New Economic Policy
Industrial Policy Foreign Investment Policy Foreign trade or Export-Import Policy Structural policies (To strengthen the supply side of the economy) Fiscal Policy Monetary Policy Stabalization policy (To control demand side )
4 Features of New Economic Policy
Liberalization Privatization Globalization
5 Meausre taken Liberalization Relicensing Relaxation of MRTP Act
Competition Act(2002) Freedom to enhance capacity and produce new goods Replacing FERA with FEMA Freedom to import technology and raw material Simplification of Tax System (both direct and indirect taxes) Banking Sector Reforms Reforms in capital Market. Meausre taken
6 Privatisation Privatisation Downsizing public sector Disinvestment
MOU Policy National Investment Fund National Renewal Fund Stress on Private Sector Investment Ease of doing buissness Privatisation
7 Globalisation Globalization Export Promotion Reduction in Tariffs
Increase in Foreign Investment (FDI and FII) Partial Convertibility of rupee Liberal Foreign Trade Policy Globalization
8 Modernization Improvement in Technology New methods of Production
Brand Development Skill Enhancement Modernization