Indian economy to grow over 7 percent: Economic Survey 2015-16

The economic forecast by the finance ministry notes that the country’s ‘long run’ potential growth is around 8-10 percent

GN Bureau | February 26, 2016


#Arun Jaitely   #Budget Session   #Economic Survey  
(Photo: PIB)
(Photo: PIB)

The Indian economy may grow in the range of 7 to 7.75 percent, according to economic survey 2015-16. The real gross domestic product (GDP) growth rate in the first half of the fiscal grew by 7.2 percent. This was also the growth rate in 2014-15.  A summary of the survey issued by the press information bureau states that the country’s macro-economy is stable, “founded on the government’s commitment to fiscal consolidation and low inflation”.

READ: Despite growth, formal sector job shrinks

It talks about 4 ‘R’s – recognition, recapitalisation, resolution, and reform – required to comprehensively resolve the twin balance sheet challenge of public sector banks (PSBs) and some corporate houses.

READ: External debt in safe limits, export slowdown to continue

The settlement of the Minimum Alternate Tax (MAT) imposed on foreign companies reflects the restoration of stability and predictability in tax decisions, the economic survey says. The survey highlights the opening of over 200 million bank accounts under Pradhan Mantri Jan-Dhan Yojana (PMJDY), direct benefit transfer programme and the use of JAM trinity (Jan-Dhan, Aadhaar and mobile) for other government programmes and subsidies.

READ: Hunger, starvation still persist: Economic survey

The economic forecast by the finance ministry notes that the country’s ‘long run’ potential growth is around 8-10 percent. Realising this potential, the survey says, requires a push on at least three fronts. “First, India has moved away from being reflexivity anti-markets and uncritically pro-state to being pro-entrepreneurship and skeptical about the state. But being pro-industry must evolve into being genuinely pro-competition. Similarly, skepticism about the state must translate into making it leaner. It emphasises that the key to creating a more captive environment will be to address the exit problem which affects the Indian economy,” the survey says.

READ: Addition of record power generation, focus on renewable energy development


Second, the survey calls for major investments in health and education of people to exploit India’s demographic dividend to optimal extent. Third, it says that India cannot afford to neglect its agriculture, the report says.

READ: Uneven distribution of subsidies, requires rectification of anomalies

 

Comments

 

Other News

MoEFCC and CAQM launch ‘The Breath of Change’

To tackle air pollution in Delhi-NCR through public participation and creative engagement, the Ministry of Environment, Forest and Climate Change (MoEFCC) and the Commission for Air Quality Management (CAQM) have jointly launched a strategic communication campaign titled The Breath of Change.

India well on way to becoming a global IP powerhouse

Intellectual Property (IP) has evolved into a critical component of innovation and global competitiveness in India’s economy. As businesses pivot toward intangible assets like data, algorithms and branding, IP protection is no longer a matter of formality—it is a strategic imperative. The last

War and Peace: The conundrum of conflict in West Asia

Israel and Palestine have been the harbinger of troubles for the last 80-odd years. It is an unending and persistent saga of conflict and attrition which has bloodied the political, societal and economic turf in West Asia for long. The scale of wars, which were more than skirmishes of the day, ranged from

Trump’s tariff ploy sparks resistance from Global South

In the history of BRICS, never has any joint statement issued after a leader-level summit contained any remarks—directly or indirectly, against the US. However, for the first time, during the 17th summit of BRICS in Rio de Janeiro in Brazil, leaders voiced their concern about America’s impositi

How India can become a $30 tn economy by 2047: A blueprint

Viksit Bharat: India @2047  By Aditya Pittie Fingerprint Publishing This timely and meticulously

The saga of a language family that has shaped the world

Proto: How One Ancient Language Went Global By Laura Spinney Distributed in India by HarperCollins India, 352 pages, Rs 599

Visionary Talk: Amitabh Gupta, Pune Police Commissioner with Kailashnath Adhikari, MD, Governance Now





Archives

Current Issue

Opinion

Facebook Twitter Google Plus Linkedin Subscribe Newsletter

Twitter