ABSTRACT

India is being recognised as an ‘emerging economy' within global political and economic systems. The 1990s was a watershed in number of ways for the development experience in India. It involved implementation of structural adjustment and stabilisation policies since July 1991 which has strengthened the process of liberalisation, globalisation and privatisation. In less than two decades of economic globalisation, the country has achieved significant progress in various economic indicators. The average per capita Gross National Product, GNP (constant prices) increased from Rs 12646 to Rs 23313 between 1991–92 and 2005–06 (RBI 2007). The dominance of agricultural sector in national income has been replaced with a substantial rise in share of tertiary sector. The pace of global integration was given impetus through various policies that enhanced the role of foreign direct investment, improving the trade balance, a reverse flow of aid for development and greater representation from global institutions like the World Trade Organisation (WTO) and the United Nations (UN).