NEW DELHI: Finance minister
Nirmala Sitharaman
on Thursday expressed optimism about the
Indian economy
's remarkable progress over the past decade, during her pre-election Budget announcement. In what is technically known as a vote on account and commonly referred to as an interim Budget, Sitharaman stated that the Indian people are eagerly looking forward to a promising future with various opportunities.
She also highlighted the government's commitment to ensuring inclusivity by implementing structural reforms, pro-people initiatives, and generating employment opportunities. After experiencing a contraction of 5.8 per cent in 2020-21, the economy rebounded with a growth rate of 9.1 per cent in 2021-22.
According to the Ministry of Finance's latest monthly economic review, India is projected to become the world's third-largest economy within three years, with a GDP of $5 trillion, up from the current $3.7 trillion. The report further suggests that India could aim to become a $7 trillion economy by 2030. In December, the Reserve Bank of India revised its GDP growth projection for the current fiscal year to 7 percent, up from the earlier estimate of 6.5 per cent, citing robust domestic demand and increased capacity utilization in the manufacturing sector.
The International Monetary Fund (IMF), headquartered in Washington, has upgraded its economic growth forecast for India, projecting a strong growth rate of 6.5 per cent for the years 2023-24 and 2024-25, an increase of 0.2 percentage points from its previous forecast. Similarly, the World Bank has predicted a growth rate of 6.4 per cent for India in the current financial year, with a slightly higher expansion of 6.5 percent in GDP for 2024-25.
The Asian Development Bank (ADB) has also raised its growth outlook for India, projecting a growth rate of 6.7 percent for 2023-24, up from the earlier forecast of 6.3 per cent. This upward revision is attributed to the faster-than-expected expansion witnessed in July-September, driven by double-digit growth in the industrial sector.
These positive projections and predictions from various leading international organizations reflect the resilience and potential of the Indian economy. As the country continues to implement measures aimed at sustainable growth and development, it is expected to emerge as a key player in the global economic landscape.
English (US) ·