Thursday, July 17, 2014

Protect Riches and Protect Intellectuals

"Country should protect the Riches and Intellectuals"
Are you baffled by this premise?
Wait and let me explain before you try to be judgmental and start painting my perception with a different color. I am not an economist but a software engineer who understand digital world more than the money matters. Although the financial engineering and computer engineering are dichotomous in nature but for me they conflate well.

A country which can't protect its riches and intellectuals is always at loss. India is a country which is a victim of both brain drain and the money going out. I believe you all must be well aware of the fact that how brain drain is impacting India. USA, Canada, Australia and many more countries are the beneficiaries of India's intellectual property. All the IP rights stay with these countries and the Indians are paid meager salaries. Tax laws are so complex in this country that no one likes to setup a company here. Singapore, Ireland , USA provide smooth.  I hope till now it must be crystal clear that how the brain drain, complex taxation, and vote bank politics is hampering the growth story of this great nation.

Poor and the deprived needs government help but not at the cost of losing riches and intellects. Reservation is one major factor which divides the society and the impact of this is that we are losing talent in this process. Dwindling young population across the globe is putting pressure on all major economies like China ,USA, European Nations etc. Social security contributions are decreasing because of unemployment and reduction in the talent pool. To fill the young earners for the nation these countries are pulling the talent from India which is nurtured, educated free of cost in top notch universities of India. All the money spent on the future of India is stolen away.

Modi government has taken few steps to improve the ease of doing business in India. We have witnessed a remarkable jump in the ratings from 150 to 100. GST (Goods and Services tax) has brought the nation under the ambit of One Tax One Nation putting an end of double taxation or tax on tax. GST is going to streamline the supply chain and fix the loopholes which lead to tax evasion. There is a lot of hue and cry in nation due to GST but this is created by those who were cash hoarders and repeated offenders of tax evasion.

Demonetization is the most successful initiative taken against black money. Impact of demonetization was seen in the immediate reduction of stone pelting in the Kashmir valley. All the fake money in the market is put to rest in no time. All the shell companies suddenly became active which raised the red flag and today more than 7 lakh companies are under scrutiny.   We must appreciate the  efforts of this government to fight the black money, corruption, tax evasion, fake currency, terrorism in one stroke.

Demonetization and implementation of GST are disruptive financial reforms which no government in the past dared to touch because they knew the repercussions. We have to support this government because they are honest and doing their job with utmost integrity and love for the nation.

Digital India, Make in India, Monitored Electrification of all the villages, Rail Infrastructure, Port Connectivity, Cleanliness Drive, Financial Inclusion, Demonetization, GST, Girl Child Education, Clean Rivers, Highways are few of the achievements of this government which will help improve the condition of this nation and eventually lead to protect the riches and the intellectuals. This government has put emphasis on the foreign policy and is successful in building a consensus on fight against terrorism as a united global fight.

I hope we continue to improve as a nation so that the potential of this nation can be used to build this nation. Money spent in nurturing young talent can be used within our great nation. Another important area where we have completely failed in protecting the riches of this nation. Many entrepreneurs in the past were put behind the bars and all their wealth is looted. We need to have a different strategy by which we can get our money back and keep the business house and entrepreneur floating. Sahara, Kingfisher and Satyam are the biggest companies which we brought to ground zero by our hate for the rich. In order to stop tax evasion and during recovery we should not kill the business houses. We as a nation are moving from a poor to a predominantly middle class society. We need to take care of all and not just one class. We need to have a right balance of socialist and capitalist economy. Rich and the middle class can't pay tax to feed the poor. Food Security Bill, MNREGA are some of the socialist schemes which have created havoc in the labor industry. Today we don't find labor in villages because people have enough money to survive. MNREGA is free money for poor but it is hard earned money of the tax payers. We must mull over what we are doing to this nation.

Jai Hind.