Modi’s Big India State Vote Win Positions Him For Second Term – Bloomberg

Investors can expect pro-business reforms in Uttar Pradesh, such as digitizing land records and making permit applications easier, said Jan Zalewski, a senior Asia analyst at Verisk Maplecroft. At the federal level, Modi could tackle non-performing bank loans to revive lending and continue to pursue policies aimed at pushing India’s vast informal economy into more formal channels, he said, noting that entails some risk.”Reforms may also yet encompass entirely unexpected and out-of-box moves, along the lines of demonetization,” he said. “Modi’s inclination to draft such moves behind closed doors means that policy predictability will be low on that front.”Modi will “aggressively expedite” key structural economic reforms that will promote India’s growth, said Ajay Bodke, chief executive office at Mumbai-based brokerage Prabhudas Liladher Pvt. The passage of the nation a sales tax “is a mere formality now.”Programs on agriculture, power distribution, affordable housing, delivery of more LPG cylinders, rural connectivity and direct transfer of subsidies to poor people will be a priority, he said, along with a renewed push for land and labor reforms through state governments.”Equity markets will rejoice with this outcome,” Bodke said.

Source: Modi’s Big India State Vote Win Positions Him For Second Term – Bloomberg

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