India is the largest growing democracy in the world. Since the past few years, it has been undergoing various changes and turmoil which are helpful in improving the growth of the economy either directly or indirectly. India has the extraordinary concentration of diversity which no other nation has. Simultaneously, the country is suffering from a number of problems which are impacting the growth of the economy in some way. It is the need of the hour to redress those problems as soon as possible so that India can soon be counted in the list of the developed nations. For this, some steps are required to be taken not only by the government level but at the individual level as well.
- Overpopulation: According to the census 2011, the population of the country is around 1.2 billion. This is the biggest reason which is impacting the growth of the country. The death rate has been reduced due to the advancement in technology but no measures had been done to control the birth rate. This led to the explosive growth in the population of the country.
Solution: Aware about the demerits of the population explosion can help in reducing the growing population. Various attempts have been made by the previous and the current government which have proven to be successful to some extent. People should be encouraged to adopt birth control methods to contribute in population control.
- Unemployment: Unemployment has become a characteristic of Indian economy. India is basically an agrarian country but due to the lack of resources, frequent droughts and debt, farmers too are unable to continue with farming. Some of them withdraw farming and relocate to the urban areas to search for a job. However, limited job opportunities and gap in the skills and job requirements increases the rate of unemployment in India.
Solution: Small and medium scale businesses should be encouraged more in the rural areas. For this, the government already has launched the schemes under which the entrepreneurs and even individuals can get credit from the banks to get a loan for business set up. Better job opportunities can be created by setting up the industries that employ a large number of people.
- Defective Economic Infrastructure: Third major problem which is impacting the growth of Indian economy is the defective infrastructure. Lack of means of transportation, communication, irrigation and power are the challenges in front of India.
Solution: Companies engaged in the construction of the infrastructure like road, dams, setting up of communication mediums and providing transports should easily get the credit to easily set up the infrastructure. Foreign companies can be encouraged to invest in the Indian infrastructure.