Impact of Globalization on Transforming India's Economy: A Post Reforms Analysis

Globalization is basically a socio-economic term where people think locally and act globally. It referred to a strategy of economic development where borders of the countries do not matter for movement of commodities, services, capital, finance, labour, technology, ideas, and information. This strategy generates a process of increasing economic integration and growing interdependence between countries of the world economy. Indeed, it isn't only associated with a phenomenal of spread and volume of cross-border economic transactions but also with an organization of economic activities which straddle national boundaries of the world. Indian economy had experienced major policy changes in July, 1991s. The new economic reforms were popularly known as Liberalization, Privatization and Globalization (LPG), aimed at making the Indian economy as the fastest growing economy and globally competitive. The series of reforms has been undertaken with respect to the industrial sector, trade as well as financial sector. This period of economic transition has not only had the tremendous impact on the overall economic development but also on the mindset of Indian people who could get rid of traditional, stubborn thinking, superstition, and illiteracy. As every coin has two sides, similarly, there are both positive and negative aspects of globalization on Indian Economy and this paper analyze the relation between globalization and Indian Economy its implications after post-reform period.