The deadly influence of the ongoing economic recession has victimized several developing countries and India happens to be one of them. The country is still going through the stages of development. Though a few magnates of India have come out in the international map along with their respective houses, the country is still far away from offering serious challenges to others in respect of business and as the hub of global commercial activities. Though the governmental initiatives are positive and advocators of the effectiveness of the market economy, several compulsions are there (some being intrinsic aspects of the Indian social order) that retard the economic growth of the country.
All these indicate that there are other possible reasons (except the brunt of the recession) that offer serious obstacles before the country. This gruesome or ghastly scenario has made the Indian officials concentrate on this aspect seriously. Well, the Planning Commission of the country is looking into the mater sincerely and keeping no stone unturned to find out an ultimate solution to figure out the crisis. For that reason, it has been learnt, that the Commission is busy in looking into the way how large loans are distributed to the consumers of the country. It has also concentrated on the ways to support the property loan market that include how to make it possible for the borrowers to put up collateral for loans.
According to the observation of the report, in a country like India (these days) land happens to be the single most valuable physical asset. But it is the gloomy state of property rights to land that is the source of great problems and makes it less effective as collateral. On the other hand, according to the appraisal of the reality by the department, the presence of shortcomings in the laws is quite enough to slow up land purchasing. What are the roles of courts then? They are overburdened (with disputed real estate cases) and are helpless hence.
What should be done therefore? According to the prudence of the department, there is the need of transparency in the entire system. But it is a mammoth task in the Indian context and hard to archive. It should be remembered that the land ownership in India is related with the rigid caste system and this has been continuing for centuries. There is the need of a radical approach to break this. Who can take the lead?
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