Economic Survey stresses private sector’s role in infra development
The Economic Survey tabled in Parliament on Friday underlined the importance of private participation in the infrastructure sector to realise Viksit Bharat@2047.
Government’s Chief Economic Advisor K. Krishnamurthy on Friday said that there is no change in the $5 trillion economy timeline by 2025.
“No change in the deadline (for achieving the 5 trillion dollar economy)”, the CEA said as he answered a query on whether the deadline would be overstepped for achieving the 5 trillion dollar target given the slowdown.
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He was addressing a press conference after the Economic Survey 2019-20 was presented earlier in the Parliament.
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Krishnamurthy added that there is a slowdown in investment, demand and consumption as well.
The Economic Survey has put current fiscal year 2019-20’s growth rate at 5% (from the earlier projected 7%) while estimating economic growth at 6-6.5% in the fiscal year starting April 1 (2020-21). The survey projected 7% GDP growth for the current fiscal in the July Budget.
Last year the Economic Survey called for bright prospects for economic growth making its theme on enabling a “shifting of gears”, “to achieve the objective of becoming $ 5 trillion economy by 2024-25, as laid down by the Prime Minister”.
It had said that India needs to sustain a real GDP growth rate of 8%.
The survey says it departs from “traditional thinking by advocating a growth model for India that views the economy as being either in a virtuous or a vicious cycle and thus never in equilibrium”. The question mark on achieving the 5 trillion dollar economy with 5 per cent growth has put a question mark on its viability with continued slump in demand, consumption and growth.
The government’s first estimate of GDP for the fiscal has projected 5% GDP growth in Q2, the growth had slowed to a six-year low of 4.5%.
(With input from agencies)
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