Unhindered by coalition limits, Modi to go ahead with reforms
UPA failed to initiate many reforms as it did not get the support of its allies
New Delhi: It is clear from Friday’s verdict that Narendra Modi, as Prime Minister, will not have to face any “coalition compulsions” in pushing through his reforms agenda to bring back the sagging economy back on track.
The Manmohan Singh government was, on the other hand, marred by several mega-scams and also failed to initiate many reforms as it did not get the support of its allies.
These include the Goods and Service Tax and the Direct Tax Code, touted as the most important measures to improve revenues. The Modi government will have to take some other steps to attrack big-ticket investments, like quick “environment clearances” for big-ticket infrastructure projects. A new home ministry unit may be set up to coordinate between the PMO and chief ministers.
The Modi government is also expected to give boost to regulatory environment for different sector like Telecommunication, Highways, Insurance and Banking-Insurance, which will give clarity to both domestic and foreign investors.
The majority in the Lok Sabha being on his side, Mr Modi is also likely to take measures to improve the functioning of government. For the purpose he might implement his concept of “Team India (PM and CMs)”, as he mentioned during election campaign.
Sources say, there could be a new department in the home ministry to coordinate between the Prime Minister’s Office and all the chief ministers.
A chief secretary level officer would coordinate and brief the PM on a daily basis. There could also be an innovation in the governance by involving CMs of border states like Rajasthan, Gujarat, Punjab in the CCS discussions.