V. Anantha Nageswaran,Chief Economic Adviser
Further support to economic growth will come from the expansion of public digital platforms and path-breaking measures such as PM GatiShakti, the National Logistics Policy and the Production-Linked Incentive schemes to boost manufacturing output, it said.
New Delhi:
India has already become the world’s fifth largest economy in the 75th year of Independence and will reach the USD 3.5 trillion mark by end-March, said the Economic Survey tabled in Parliament on Tuesday.
In real terms, the economy is expected to grow at 7 per cent for the year ending March 2023. This follows an 8.7 per cent growth in the previous financial year.
”For India, 2022 was special. It marked the 75th year of India’s Independence. India became the world’s fifth largest economy, measured in current dollars. Come March, the nominal GDP of India will be around USD 3.5 trillion,” the Survey said.
India’s economy crossed the USD 3 trillion mark last year.
Chief Economic Adviser V. Anantha Nageswaran on Tuesday said that digital investments will mainly drive the country’s growth, as they would act as “growth magnet” in the near future.
Addressing a press conference after the release of the Economic Survey for 2022-23, Nageswaran said India’s robust digital infrastructure has the potential of adding around up to 100 basis points to India’s GDP rate.
On the Economic Survey, which was tabled in Parliament by Finance Minister Nirmala Sitharaman earlier in the day, Nageswaran said that India is set to perform in this decade owing to the reforms unleashed by the government in the last eight years.
“Reforms of the last eight years spanning multiple dimensions including digital, social and physical infrastructure were happening even as banking clean up was going on,” he said.
He also said that India’s post-pandemic basic economic recovery is complete and the non-banking and corporate sectors have shown good financial health.
On GDP numbers, Nageswaran showed optimism that the Indian economy is set to grow faster once the global shocks of pandemic and Russia-Ukraine war recede.
“In its World Economic Outlook update, the IMF has maintained India’s GDP forecast for current FY at 6.8 per cent, next FY at 6.1 per cent, and for 2024-25 at 6.8 per cent. Recovery of the economy is complete,” he said.
Nageswaran further said that the quality of public expenditure has improved and the government has maintained transparency in public procurement.
“Various such dimensions have led to improved expenditure management,” he added.
”It is befitting that during India’s Amrit Kaal, it assumed the Presidency of G-20 nations in December 2022,” the survey said.
Global problems need global solutions, and global solutions require collaboration and cooperation.
Based on the theme of ‘Vasudhaiva Kutumbakam: One Earth, One Family, One Future’, India’s G20 Presidency aims to achieve co-ordinated solutions to key issues of global concern.
As per the survey, economic growth is expected to be brisk in 2023-24 as a vigorous credit disbursal and capital investment cycle are expected to unfold in India with the strengthening of the balance sheets of the corporate and banking sectors.
Further support to economic growth will come from the expansion of public digital platforms and path-breaking measures such as PM GatiShakti, the National Logistics Policy and the Production-Linked Incentive schemes to boost manufacturing output, it said.