I am sure we all heard PM Modi's speech at 8 PM on 12th May. And I am also sure you would have received nothing less than a thousand social media messages around it.
Let me share with you my perspective and to make it simple, to the point and highlight pointers relevant to you.
First and foremost, let me bring to you the question why we were all glued to our television sets - The Lockdown. There was a marathon 6-hour meeting with the CMs of every state where a lot of CMs urged the PM to enable states to decide on the lockdown within their states instead of a blanket lockdown all across the country. Based on that, the PM asked the CMs for a blueprint on how they would want to manage the lockdown in their respective states going forward.
4th phase of the lockdown to witness easing of rules
Giving a hint yesterday, the PM categorically said that the 4th phase of the lockdown wouldn't be the same as it has been for the past almost 2 months. It would be with a lot more easing of rules. We will need to wear masks, we will need to maintain social distancing, but we need to now open up. The rules will be disclosed before 18th May 2020.
The second point mentioned in the PM Modi speech I want to highlight is probably the key highlight of the announcements made yesterday. He announced a package of Rs. 20 Lakh Crores to help India deal with the current pandemic. That is close to 10% of India's current GDP.
He did mention that there would be reforms for small businesses, MSMEs, corporate sector, taxpayers like you and me, farmers, labourers of both, the organized and the unorganized sectors, etc.
The package will ensure continued reforms in land, labour, liquidity and laws.
The FM will be unfolding various measures over the coming few days.
Making India self-reliant
The third announcement by PM Modi stressed a lot on making India self-reliant (Atma Nirbhar). And he stressed on it quite a few times in his speech. And to make India self-reliant, the government would be paying more attention to the 5 key pillars.
The 5 Key Pillars he mentioned:
- Technology Driven Systems
And while I talk about this, there was another important message - Promote local products - and this clearly means he wants to focus more on manufacturing than before.
What this means to me is that the government is looking at 2 key aspects - generating internal demand & developing the infrastructure and economy to transform India as a Global Manufacturing Hub.
It obviously shows that there is a bigger plan in place to get a sizeable chunk of business that could potentially leave China. And to make it even more obvious that there is a plan in place, he also mentioned about India playing a bigger role in the Global Supply Chain.
Interestingly, it was just earlier in the day yesterday, Apple Inc. is heard to shift 20% of its manufacturing out of China and move to India and would invest $ 40 billion over the coming 5 years.
The last and the most important takeaway for me was his repeated stress that the 21st Century will belong to India.
Be it the Make In India or the Aatma Nirbhar Bharat, there seem to be enough indications that are given by PM Modi that he means business and the government would take all possible measures in an effort to convert the current crisis into an opportunity.
Before I end for the day, there are some pessimists around and they would always be around who want to pick holes in whatever good is happening. Would you want to fall prey to their pessimism, or would you want to be a part of the now even bigger India growth story by investing in the best investment opportunities?