What The Government Should Do in India? by Prof Raghuram Rajan

The experiences of industrial countries as well as our own experiences suggest we need to rethink the role of government. We need to get government out of businesses the private sector can provide effectively, retaining a presence only if it provides effective competition to the private sector without subsidies or favors. We also need to get the government to focus more on creating a transparent enabling environment where competition can flourish. Our democracy, our vibrant watchdog institutions like the judiciary, NGOs, and the free press, our capabilities in technology, and the presence of some good, honest people in every echelon of the government, should give us the confidence that we can achieve the necessary reforms.