After a period of three decades, India is all set to progress under a coalition government.
It is the third term when the National Democratic Alliance will be in power.
Although the Bharatiya Janata Party did not get the magic figure of 272, it will still lead the government, which will be formed soon.
Previous coalition governments brought in reforms, which made the country robust in terms of economic circumstances. Since 1991 when India adopted a planned economic model, the majority of governments have been coalitions.
In 2014 and 2019, the BJP enjoyed absolute majority and brought in reforms, which included Goods and Services Tax (GST) and Insolvency and Bankruptcy Code. More visionary reforms are expected to pave the way for India’s development during NDA 3.0 too.
Since a coalition government is expected to be in place soon, let’s take a look at the reforms brought in by prior coalition governments.
Previous coalition governments
PV Narasimha Rao-led government. It revoked centralised planning and led the Indian economy to global completion by removing the licence-permit raj. The country also became a member of the World Trade Organisation.
Under the Deve Gowda government, then Finance Minister P Chidambaram came out with a noteworthy budget. It placed faith in the Indian taxpayers and cut tax rates— both personal income tax, corporate taxes, and customs duties.
Under the Atal Bihari Vajpayee-led National Democratic Alliance (NDA) government, India framed the Fiscal Responsibility & Budget Management (FRBM) law for fiscal rectitude, and limited the government’s ability to borrow.
The Vajpayee-led coalition further advanced the push towards disinvestment of loss-making Public Sector Undertakings (PSUs), and focused on boosting rural infrastructure and connectivity through the PM Gram Sadak Yojana.
The very first NDA also brought in the Information Technology Act, in 2000, that laid the foundation for the bustling e-commerce giant that India is today.
Under the Manmohan Singh-led United Progressive Alliance (UPA) India built on the Sarva Shiksha Abhiyan to initiate the Right to Education Act.
Additionally, the Right to Information and the Right to Food acts were also introduced which gave a boost to India’s democratic transparency and ensured that no one is hungry.
In the similar vein, the UPA brought in the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA), which provided minimum employment to the rural poor.
What can the NDA-led coalition govt 2024 focus on?
To begin with, the BJP-led NDA government should prioritise job creation in urban and rural India by coming up with specific time-bound plans.
Jobs that are lying vacant in various departments of the central government and centrally-funded institutions need to be filled expeditiously. Measures should be adopted to ensure the same at the state level.
Furthermore, price regulation should be prioritised, so price rise, and food inflation are kept in check.
The process of sharing revenue from tax collections, including GST collections, and a higher allocation of the Centre’s resources should be streamlined in a way that it would add to the overall development of every state.
The government must ensure that the bills it introduces, especially ones with national ramifications, are discussed in the Parliamentary Committees, so that every aspect of them is dealt with in detail to derive at best outcomes.
Additionally, demands for special packages by the coalition partners will have to be handled deftly without casting too much burden on the central exchequer.
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