Until just over a decade ago, Bangladesh was considered to be an economic basket case. It has since achieved a remarkable turnaround, with its GDP poised to exceed that of Pakistan. The author of the piece - renowned economist Kaushik Basu - believes the roots lie in social change, particularly the education and empowerment of women.
The World Bank has said in a report that while uneducated Indian workers have shown resourcefulness despite the constraints they face, the business are too small to improve the well-being of their owners. What India needs is a substantial increase in salaried jobs with growing earnings for the standards of living to rise in the country.
Human development indicators for the southern states of India resemble those of upper-middle-income-countries, while that of the northern states is closer to sub-Saharan Africa. At the same time, the population of northern states has been increasing at a much higher rate than that in the southern ones. As a result, there is an increasing perception in the south is that their resources are diverted to the north, while they become a political minority with little control over the situation.
The U.S. Federal Reserve has been committing itself to raising rates back to normal levels, after keeping them unnaturally low for nearly a decade in order to counter the aftereffects of the Financial Crisis of 2007-08. An improving economy gives them the reason to do so.
The biggest problem with the Indian banking sector is a lack of proper checks and balances. Without them, future scams cannot be ruled out. RBI needs to get more powers, besides doing a lot more to ensure that transgressions of the sort seen recently at PNB, ICICI Bank and Axis Bank do not occur elsewhere again.