Greater participation of state governments In a federal country like India, participation and support of the State governments is essential for developing high quality infrastructure. The State governments’ support in maintenance of law and order, land acquisition, rehabilitation and settlement of displaced persons, shifting of utilities, and obtaining environmental clearances are necessary for the projects undertaken by the Central Government or the private sector.
It was not too long ago that the world was perplexed by the so-called “Greenspan conundrum”, where there appeared to be a decoupling of monetary policy from long-term interest rates.