India's well-established democratic system--the largest in the world--has provided its people with an unusual degree of political freedom and stability its emphasis on government intervention and public ownership. In 1991, a new government emerged which focused on stabilizing the economy , reforming trade, the financial sector, and public enterprises.. Initially, growth declined sharply in response to the contractionary fiscal and monetary policies adopted to address the crisis. But now it seems that this economic program produced remarkable results.
The India government continues to encourage healthy development of the capital markets through effective regulation, and improved trading and settlement practices (World Bank). …
