The triple pillars of New Economic Policy are Liberalization, Privatization and Globalization (LPG)
Liberalization: Liberalization refers to removal of relaxation of governmental restrictions in all stages in industry. Delicensing, decontrol, deregulation, subsidies (incentives) and greater role for financial institutions are the various facets of liberalization.
Privatization: Privatization means transfer of ownership and management of enterprises from public sector to private sector. Denationalization, disinvestment and opening exclusive public sector enterprises to private sector are the gateways to privatization.
Globalization: Globalization refers to the integration of the domestic (Indian) economy with the rest of the world. Import liberalization through reduction of tariff and non-tariff barriers, opening the doors to Foreign Direct. Investment (FDI) and Foreign Portfolio Investment (FPI) are some of the measures towards globalization.

Fiscal Reforms:
(i) A key element in the stabilization effort was to restore fiscal discipline. It means reduction of fiscal deficit to the extent of just 3% of GDP as suggested by Fund Bank Policies. In this way, the budget aimed at containing government expenditure and augmenting revenues, reversing the downtrend in the share of direct taxes to total tax revenues and curbing conspicuous consumption.
(ii) Some of the important policy initiatives introduced for correcting the fiscal imbalance were, reduction in fertilizer subsidy, abolition of subsidy on sugar and disinvestment of a part of the governments equity holdings in select Public Sector Undertakings.

A Kisan Credit Card (KCC) is a credit delivery mechanism that is aimed at enabling farmers to have quick and timely access to affordable credit.

(i) Farmers were encouraged to shift from growing a mixture of traditional crops to export oriented "Cash Crops" like chilli, cotton and tobacco.
(ii) Liberalisation policies reduced pesticide and fertilizer subsidy and so fertilizer prices have increased by 300% and electricity tariffs have also been increased.

(i) Liberalization refers to removal of relaxation of governmental restriction in all stages in industry.
(ii) Delicensing, decontrol, deregulation, fiscal incentives and greater role for financial institutions are the various facts of liberalization.