Question

which of the following needs led to the economic reforms of India

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Answer 1

Answer:

Policy changes were proposed with regard to technology up-gradation, industrial licensing, removal of restrictions on the private sector, foreign investments and foreign trade. The essential features of the economic reforms are – Liberalisation, Privatisation and Globalisation, commonly known as LPG

Answer 2

Answer:

The following are the reasons for economic reforms:

(i) Rise in Prices:

(ii) Rise in Fiscal Deficit:

(iii) Increase in Adverse Balance of Payments:

(iv) Iraq War:

(v) Dismal Performance of PSU's (Public Sector Undertakings):

(vi) Fall in Foreign Exchange Reserves