Sunday, August 10, 2025

Entrepreneurs Are Forced to Pay Bribes at Every Stage: Journalist Slams Indian Government’s Claims.

Date:

Journalist Sushant Sareen recently called out the stark reality faced by young entrepreneurs across India—a reality that stands in sharp contrast to the government’s upbeat messaging about business reforms and improved ease of doing business. In his recount of a conversation with a startup founder, Sareen exposed just how difficult, slow, and frustrating routine government registrations and clearances remain in practice.

The Entrepreneur’s Reality: Time, Bribes, and Paper Trails

This young founder’s experience was telling: it took her two months to complete basic registrations, with demands for bribes at nearly every step. Documentation requirements were not just detailed—they were often arbitrary, seemingly designed to stall progress and intimidate applicants. Instead of enabling business, much of the bureaucracy remains focused on gatekeeping.

The honest truth: unless bribes are paid to middlemen, timely clearances are rare. Such systemic corruption and inefficiency end up stressing out small businesses, forcing them to “jump through hoops” to survive the process.

Check his post on X:

Government Claims vs. Ground Realities

Despite these ground-level struggles, ministers and officials continue to publicly state that the business environment in India has improved. Sareen’s critique points to three possible reasons for this disconnect:

  • Some officials are genuinely unaware of ongoing bureaucratic obstacles.
  • Others may be intentionally misled by local bureaucrats protecting their own interests.
  • Or, more cynically, some simply ignore the actual situation, preferring to repeat optimistic rhetoric instead of demanding real reform.

No matter the reason, these gaps raise serious questions about the truth and depth of much-publicized government reforms.

Piyush Goyal and the Ease of Doing Business: What’s Missing?

Commerce Minister Piyush Goyal frequently cites progress—digital approvals, less paperwork, expanded online portals. Many official indices reflect improvement, supposedly thanks to policy changes. But Sareen’s experience, echoed by countless grassroots stories, highlights a paradox: macro-level statistics may show gains, but on-the-ground implementation for entrepreneurs is still riddled with inefficiency and corruption. The gap between policy and practice is especially wide for small businesses outside big cities or tech hubs.

Real Reform: What Needs to Change

Sareen argues that real gains require more than cosmetic tweaks:

  • Government processes must be streamlined to eliminate unnecessary bureaucracy.
  • Corrupt officials obstructing honest business practices need to be held accountable.
  • Transparent, simple mechanisms are needed so entrepreneurs don’t get trapped by paperwork.
  • There must be genuine political will to root out obstructionist bureaucrats—setting public examples, if needed, to show reform is serious.

Without these deep changes, India risks suffocating the entrepreneurial drive and innovation that should be powering its economic future.

LEAVE A REPLY

Please enter your comment!
Please enter your name here

Share post:

Popular

Articles
Related

India Is Fooling Itself by Trusting the US — American Economist Explains Why.

Renowned economist Jeffrey Sachs has delivered a timely—and blunt—wake-up...

Skyroot Aerospace has successfully tested India’s largest privately built solid rocket stage — the Kalam-1200.

Hyderabad-based Skyroot Aerospace has hit a major milestone in India’s private...

Zerodha’s Nikhil Kamath to Discuss Potential Collaboration with Perplexity AI Founder

A buzz has been building in India’s fintech and...