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manufacturing and engineering
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Do production-linked incentives for manufacturing work?
In a recent note, former Reserve Bank of India (RBI) Governor Raghuram Rajan questioned the success of the production-linked incentive (PLI) scheme in boosting India’s domestic manufacturing and exports. The PLI scheme was introduced by the Centre in 2020. Lakhs of crores of rupees have been allocated towards subsidising companies that manufacture in India. The Centre believes that the PLI scheme has boosted the domestic manufacturing sector, but critics have questioned its success. Do PLI schemes for manufacturing work? Arun Kumar and Nagesh Kumar discuss the question in a conversation moderated by Prashanth Perumal J. Edited excerpts:
Prashanth Perumal J.
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