Step by step
1-Balance of Payment Deficit mounting every month. More Money going out then coming in. This started depleting your reserves (Probably from 2004 onwards Economy boomed and started to grow fast. But growth was import based)
2-Every time situation going critical you borrow loan from Outside
3-When you get a relief package, You should have taken major steps to transform economy into a self reliant export based country.
4-During Past 15 years, Foreign loans kept your reserves stable, it was enough time to restructure your economy and industry. So that finally you become able to stabalise your reserves by your own industry and remmitances
5-Now as you are heavily reliant on imports. Your reserves flatlined as Deficit keeps growing instead of shrinking. So your rupee weakens. And imports become expensive (Fuel, Medicine, Machinery, Electronics). Pushing the inflation across the country.
And this situation was not helped by the very bad business and social norms of the people. easy going, not wanting to work hard, always finding shortcuts, Engaging in uselss pointless activities(Kisi ne jihad karna hai, kisi ne area ka chowdhary banna hai, Kisi ne apni 300 saal purani zubaan ko dobara zinda karna hai, kisi ne apni interpretation ks Asal deene haq phelana hai), No innovatin, No logic. Everyone indulging in rent seeking instead of production. Every one wants easiest way to earn money. Everyone wants to earn maximum profit on 2 items he can sale instead of working hard to sale 200 items. and so on
