Labour-intensive industries can spur growth, says Rakesh Mohan

India needs to push labour-intensive large scale industries to ensure it can return to an annual GDP growth rate of 8 per cent, notes a paper authored by Rakesh Mohan (pictured) for Brookings India.

“Apart from maintenance of appropriate interest rates and a realistic and competitive real exchange rate, the achievement of such industrial growth rate needs focused attention on the promotion of labour using manufacturing exports,” according to him. 

His paper is significant since it comes just before the newly-elected National Democratic Alliance (NDA) government presents its first annual Budget on July 5. 

Mohan was one of the economists who presented his