India-Sustaining Reform, Reducing Poverty

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The Indian economy is at crossroads. Its economic growth over the past two decades stands out as one of the best in the developing world, bringing higher incomes and better facilities to the poor. The payoff from the gradual but steady process of deregulating the economy has been significant. However, growth has been unevenly spread across economic sectors and has slowed down in recent years. The economics and social gap with China and other better-performing economies in East Asia is also widening. This volume, the first Development Policy Review of India by the World Bank, focuses on the policy reform priorities of raising economic growth to 8 per cent a year, as targeted in the Tenth Plan, and accelerating poverty reduction. It details ways to improve the management of India's public resources using socio-economic profiles and detailed secondary data. The study emphasises the role of: BL lower budget deficits BL improved allocation of public expenditure, and BL e ff ec ti ve delivery of services, particularly to the poor It also proposes cross-cutting reforms to improve the investment climate and raise productivity of firms.
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