Economic and Social Impacts of Globalization on India

Abstract

The condition of Indian economy in the 1990 was very worst which compelled India to involve itself in the process of globalisation under the able and bold leadership or Prime Ministership of Mr. P.V. Narshima Rao. Globalisation was not only adopted for the purpose to bring back on the right track to the Indian economy but to enable itself to get further foreign exchange reserves which were reduced to mere three weeks outflow. In order to rectify its ailing financial health, government simultaneously decided to change its policies on economy and go for privatization and liberalization of its economy. The decision of privatization and liberalization has positively impacted India. However, the process on the other side, negatively impacts on India and thus proved to be a double edged weapon. It has helped the governments to meet its emergent requirement of foreign exchange but it has, as a by-product, caused some permanent damage to the system economy and social structure. The paper is an attempt to highlight the impacts of globalisation on the economy of India. The purpose of the research paper is also to highlight the impacts of globalisation on socio-cultural environment of India.