It has been reported that the Indian economy is expected to grow by 10 percent or more in the current fiscal, and 8 percent plus in the next fiscal year, Niti Aayog Vice-Chairman Rajiv Kumar said on Tuesday.
Addressing a book launch event, Kumar further said that seven years of the Modi government has laid a strong economic foundation for businesses to thrive in India.
“There was a hiccup (in economic growth) for two years due to COVID-19 pandemic. The IMF has projected a growth of 9.5 percent in 2021.
Major Economy
“According to the IMF, India will be the fastest-growing major economy for the next five years. These are underestimations,” Kumar said.
The Reserve Bank of India (RBI) has lowered the growth projection for the current financial year to 9.5 percent from 10.5 percent estimated earlier while the IMF has projected a growth of 9.5 percent in 2021 and 8.5 percent in the next year.
The International Monetary Fund
“India will grow at 10 percent plus in the current fiscal year (2021-22). And going forward, once we are out of the COVID-19 pandemic, we (Indian economy) will grow at 8 percent plus in FY 2022-23,” Kumar said.
“Things are changing and people are ready to invest in India,” he said.
The Niti Aayog Vice-Chairman said the potential rate of growth of India will move up to 8 percent.
Services Sectors
Last month, the International Monetary Fund (IMF) had revised India’s potential growth forecast downwards to 6 percent citing the pandemic, the company said.
The country’s economy grew by a record 20.1 percent in the April-June quarter, helped by a very weak base of last year and a sharp rebound in the manufacturing and services sectors in spite of the devastating second COVID wave. (The Economic Times)