Economic Survey pegs FY20 GDP growth at 7%
The Economic Survey 2019 was released today on the eve of the maiden Budget of the present government. The survey revealed signs of India’s economic revival and challenges that lie ahead. However, it projected a GDP growth of 7% in 2019-20 on the basis of stable macroeconomic parameters. It states that India needs to grow at 8% per year to become a US$ 5 trillion economy by FY25. It sees investment as the “key driver” of simultaneous growth in demand, jobs, exports & productivity. The survey also sees a positive correlation between savings & growth. It makes a case for faster legal process should be top priority. Further, the survey emphasises that policies should enable MSMEs to grow, create greater profits for their owners and contribute to employment generation and productivity in the economy. Finally, the Economic Survey has sought to assure that the government stands by the fiscal consolidation path.