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Puestfon 1: describe the reasons for tndia's Great slowdoon in

2019? Aiefy exhlain the five R do overome the slowcoon


dhe
mswer Wccoding alo dala eteasect by dhe gouemment,
drdia gonë hon down do
GYOs AonMeyic Orëlut (q0) qUoth of
atmost.6 ún fist quosuteriranial uear 2019-20
KXealive Addisor
e Aeuind 8ubramamlamm jomen Chie ts rot 6
Che Gjouerment of ncia hao s1ggestéct that ths
momal otowdown amd dermedl O "dhe Great ólowdown

Stowdown un the eonOmy cam be slructurad, cyclial or both


il defenct on the naturë q the factor Uhat adfeding
and a maAe dup-1Cle
Ihe economy A olsLctural stocbaoron is
tohich Comtains cOnsáainth SUh o ta6or ama land
phenomenon
en MOOLE LECOnt dewelohmert
Kesteuicti or while yclicalis ous
in a998egate dhe
atuibuting the stoultlown do a olumb
dermamddemonetization ard Gys7
dhte
otowdown dn the ewmomy Omdl
Sime 2019, dnaia facing
s
dhe soodoon
uasonu nd ide IugaMding
ae ditfoUnt
konomic sowdown
Root Cause of
maun supot cuLse dhe Gouor stocwtlocon dn
ohe fottouwing asu
the euonom endua
duwtin eatance oheet (TB): ahe government has
inresofved
sectoy bank As
amounú o opital dnto pub'lt
infecdect teGqe
ier (CE71) Matios of publtt seclor
a stesut,cotnmon equiGy
fhovesuing fwt
bomfs haue uinnedsedt do Jof,ofler yeasu
minimun of 8/.
aboue dhe equtatsy
i)dron Peyforming Assests (oNGAs): onen nalio ds hugher at dhe
of dhe onforale setor remains
PUoto setor bank: dsge amaumt
uleY stess As Jhe etonomy h stowed, he ditlytoverage
9atio ha öen won føuhen do 15/:.

) uficIent Resotution o oNeAs dnivally, VatiDIs ataursung


sthomes wee fuofpased
dhe rao1, 6ur Uatuy were uile
&the dnsalemy amd Bmkrply lode (1BOY UU 1rmoauucud
m dOecember2016, duut it ha bouovecd much otower dham
envisaged
Ohe Five R to ouercome GyOLat Slowdocon
ohe ottowing fve R& wøu dnoduud dO overcorme the
peuotem stowdoon uonomy
fhecognition
A mew Asest Quauy Reuiew hmoum as AGR-2 was tumch eo
health o dhe
for Che tormprehemsilte Teriew of the finamciat
ONGls md mufual furcls as the prexious iQR w jalecl
fo sctve the problem-

i) Resobulion
TeSobuion in whHch hat_dt fouses tubon
he secomct R 1s
(IOC) by
amd emknptup Cotë hmging
improung dnsotyenuy
barhcvo, prombters
the inxentaves he main playero:
and the fuicriry
ouiting
on dwo eXeUutiwe Ltd bubut settor
6eLONdy fouwecd
Ánouwn one each for the
sesioustatuvchugting Compants
oOl etut
Bucl bourhs" jor podtver sectov and

awznaaSnsems

2
ii) Requlation
Ois cws nhoducect do sfrengthen oversigh; espedallyy
olBt
aheurcakpr
t wao the major He-halt g dhe sitgulatory
AEsulted un dnoreasirg dhe aote glerding do dhe
O8FCs droubtel bams
casouect tower usk welgh,
ON6FCs, cohich
maximise dhe oike f dher balane
shee
Couct
i) Recapitalization o
at dhis otge
Recapitaüzation uua unkecl do resouution bank's
shouud de linhec to each
Uprogness
aciaoncul Juncb
in clecmin up ub balamce shee

Beform his
othis tndudes the ohrinking of Aublt secfoy Bamk (Ps3)
atow muyóouily fsvatt VgetoY fautipaton_in SBS

ndias grotk
the otrudurol underpinmings
dumnirg, th up, Cnss, óut he
cwere
Cwere amayed offen dhe Globat inanaiulk
yclical fac/os and ey dhe meanOt
Conom
euonomy way buoyed by
overcehe the CyoLecu &towclown i he economy
taken Cto
Sncilt

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