The document summarizes India's political and economic environment in the early 1990s and the impact of the 1991 New Economic Policy reforms. Key points include: India faced a balance of payments crisis in 1991 which led to economic reforms including liberalization, privatization, and globalization. The reforms reshaped India's business environment and increased economic growth rates, improving India's global economic position. Long-term socialist policies shifted to a more open market economy after the 1991 reforms.
5. In the early 1950s the Congress party adopted socialist pattern of society ,this was mainly responsible for the public sector dominated economy which lasted until the early 1990s.The dramatic changes in the political environment in the erstwhile USSR and East European countries that gave rise to drastic changes in their economic policies in the late 1980s.And these developments encouraged a revolutionary change in India’s economic policies in 1991.
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17. India’s GDP growth rate can be seen from the following graph since independence India to become 3rd largest Economy by PPP in the world by 2012 PriceWaterhouseCoopers
18. STATISTICS OF CHANGES Source: ECONOMIC SURVEY 2004-05 57.6 56.7 51.4 38.7 Services 21.9 21.6 22.1 26.1 Industry 20.5 21.7 26.5 35.2 Agriculture 2004-05 2003-04 2002-03 1984-85 % of GDP
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