12th May 2014 will be regarded as one of the eventful days in the Indian history. On this day, the world’s largest democracy elected the single largest political party, Bharatiya Janata Party (BJP) to rule the country. The powerful mandate and impactful speeches of BJP Prime Ministerial candidate Narendra Modi turned the tides and gave hope to India to traverse the path of growth and development.
A benchmark index of Indian equities markets surged more than 556 points on the day of election results to touch a new life-time high of 23,572.88 points on the back of growing optimism that NaMo-led BJP would be able to form a stable government.
Being the Chief Minister of Gujarat for more than a decade, Modi has transformed the state completely. Gujarat is the only state where every household is blessed with 24*7 electricity supply. The people of India therefore feel that this man can implement the Gujarat model and strive for the bright future of India.
India is regarded as one of the most attractive destinations by the foreign institutional investors to invest in Indian markets because of higher rate of returns compared to other world economies and India’s potential growth opportunities. With the BJP government coming into power for the next five years, the foreign institutional investment (FII) has grown by leaps and bounds, in view of the pro-business reforms that will be implemented by the government. The month of June garnered a mammoth FII inflow of over Rs.150, 000Crore. Indian economy which is struck by the malicious inflation for a long time is on the path of recuperating. The Modi factor was responsible for the plummeting Consumer Price Index (CPI) inflation by 0.97 basis points, from 8.28% in May 2014 to 7.31% in June 2014.
The splendid performance of the Indian economy over the last two months can be attributed to the new government. The Modi government has made a steady start to its innings. It’s important for them to display a good performance for the next five years and set the wheels of development rolling for India.
- Juili Ballal
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