'The to-do list is to boost demand via an export mindset, making labour more attractive': Sajjid Chinoy at explained.Live

In choosing what reforms to pursue and where to spend political capital, it is crucial to first identify what the binding constraint to higher growth is. In that vein, jumpstarting the private investment cycle is key. Much of the investment we've seen since the pandemic has been public investment. Encouragingly, gross fixed capital formation has increased from 31.5 per cent of GDP to 33.5 per cent of GDP in recent years but more than half of that has come from public investment, Central and state, and the rest has come from real estate. Public investment can do the heavy lifting…