Page "Economy of India" Paragraph 1

After the independence-era Indian economy ( before and a little after 1947 ) was inspired by the Soviet model of economic development, with a large public sector, high import duties combined with interventionist policies, leading to massive inefficiencies and widespread corruption.

However, later on India adopted free market principles and liberalized its economy to international trade under the guidance of Manmohan Singh, who then was the Finance Minister of India under the leadership of P. V.

Narasimha Rao the then Prime Minister who eliminated License Raj a pre-and post-British Era mechanism of strict government control on setting up new industry.

Following these strong economic reforms, and a strong focus on developing national infrastructure such as the Golden Quadrilateral project by Atal Bihari Vajpayee, the then Prime Minister, the country's economic growth progressed at a rapid pace with very high rates of growth and large increases in the incomes of people.