ISAS Insights

The chequered but ongoing political efforts to introduce a uniform Goods & Services Tax (GST) throughout India should actually be seen through a larger economic prism. The current sense of urgency, regardless of the web of politics in which this move is caught, can be explained by a simple but important expectation. The GST can indeed be a game changer for trade among India's sub-national states, because the measure, as conceived, is likely to contribute at least one percentage point to the growth in the country's Gross Domestic Product (GDP).