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Competitive liberalization with states taking the lead for development in India
12/16/2011
Indian government policy is shifting to state led development as coalition governments in New Delhi are unable to create the consensus for needed decisions. An example is the failure to provide clear direction for foreign investment in India's retail sector in 2011-2012 because of disagreements with minority region based parties in the ruling coalition government of Manmohan Singh. Decisons were finally taken with a change in coalition partners after a decline in foreign investment and large deficits forced the government to act.
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