ATMANIRBHAR BHARAT

Government Schemes in India play a crucial role in solving many socio-economic problems that beset Indian society, and thus their awareness is a must for any concerned citizen. These are launched by the government to address the social and economic welfare of the citizens of this nation.Atmanirbhar Bharat Abhiyan (Self-reliant India Mission) is a campaign launched by the Central Government of India which included an Rs.20 lakh crore economic stimulus package and a number of reform proposals.

TOPICS

• Atmanirbhar Bharat
• Mission
• Significance
• Five Pillars of self riliant India
• Challenges

ATMANIRBHAR BHARAT

As part of the relief measures in the aftermath of COVID-19, the Prime Minister announced a special economic package and gave a clarion call for “Atmanirbhar Bharat” or “Self-reliant India”.

• The Self-Reliant India Mission aims towards cutting down import dependence by focussing on substitution while improving safety compliance and quality goods to gain global market share.
• The Self-Reliance neither signifies any exclusionary or isolationist strategies but involves creation of a helping hand to the whole world.

MISSION

• Phase 1: It will consider sectors like medical textiles, electronics, plastics and toys where local manufacturing and exports can be promoted.
• Phase 2: It will consider products like gems and jewellery, pharma and steel, etc.

SIGNIFICANCE

• Talking about turning a crisis into an opportunity, he gave the example that the production of PPE kits and N-95 masks in India has gone up from almost being negligible to 2 lakh each, daily.
• Remaking that self-reliance is the only way out for India, the PM quoted from our scriptures “Eshah Panthah”, that is – self-sufficient India.
• Self-reliance will make globalization human-centric. The definition of self-reliance has changed in a globalized world and it is different from being self-centred. India’s fundamental thinking and tradition of “Vasudhaiva Kutumbakam” provides a ray of hope to the world. This should be seen in the context of Human-Centric Globalization versus Economy Centralized Globalization.
• Self-reliance does not mean cutting India off from the world. India believes in the welfare of the world and India’s progress is linked with the world. The world trusts that India has a lot to contribute to the development of the entire humanity.
• The PM also stressed on the need to be vocal for local products and urged people to buy only local products.

FIVE PILLARS OF SELF RELIANT INDIA

• Bold reforms across sectors will drive the country’s push towards self-reliance.
• To spur growth and to build a self-reliant India, Atmanirbhar Bharat Abhiyan rests on 5 important pillars.
  • Economy: contemplates not an Incremental change but a quantum leap so that we can convert the current adversity into an advantage.
  • Infrastructure: that can be an image of modern India or it can be the identity of India.
  • Systems: driven by 21^st-century technology, and that is not based on old rules.
  • Democracy: a vibrant democracy that is the source of energy to make India self- reliant.
  • Demand: where the strength of our demand and supply chain is utilized intelligently.

CHALLENGES

• Issues Related to Liquidity: The package of Rs 20 lakh crore comprises both fiscal and monetary measures, the latter being in the nature of credit guarantees and liquidity infusions into banks and other financial sector institutions rather than the economy per se.
  • Majority of the package is liquidity measures that are supposed to be transmitted by RBI to Banks and Banks to Citizens. This transmission wouldn’t be as smooth owing to inefficient transmission of monetary policy.
• Lack of Demand: The lockdown has lowered aggregate demand, and a fiscal stimulus is needed. However, the package, by relying overwhelmingly on credit infusion to boost the economy, has failed to recognise that investment will pick up only when people across income segments have money to spend.
• Lack of Backward and Forward Linkages: Unless the rest of the domestic economy is revived, the MSME sector may face a shortage of demand, and its production may soon sputter to a close.
• Burgeoning Fiscal Deficit: Government claims that the stimulus package is around 10% of India’s GDP. However, financing it would be difficult as the government is worried about containing the fiscal deficit.
• Difficulty in Mobilising Finances: The government seeks a disinvestment to mobilise the finances for the plan.
  • However, the majority of Indian industries are already a bit debt-laden to take up the stake in PSUs.
  • Further, it is difficult to borrow the foriegn markets, as rupee with respect to dollar is all time low.

In order to test the dynamic knowledge of the candidate, UPSC and other Government  Exams will have questions regarding the various schemes overseen by the Government of India. So the candidate is required to know about these schemes.To read more articles on the schemes click here