In another positive news to the Indian economy, a report has come that the Indian GDP will reach $5 trillion by 2025. A top Indian official has said to the World Bank that India is poised to remain the fastest growing large economy in the world and its GDP is expected to reach USD 5 trillion by 2025 as the economic reforms adopted in the last few years have started to bear fruit.
This was said by the Economic Affairs Secretary Subhash Chandra Garg. He also said that “India is poised to remain as the fastest growing large economy in the world. In 2018, we expect India to grow at over 7.4 per cent” in the 97th meeting of the Development Committee of the World Bank on April 21th.
Here are the few important points revealed by Economic Affairs Secretary Subhash Chandra Garg!
- In the last few years, India has undertaken massive structural reforms toward formalisation of the economy and fostering digital financial inclusion.
- India’s GDP is expected to reach a volume of USD 5 trillion by FY2025 by leveraging on digitisation, globalisation, favourable demographics and structural reforms.
- India has accorded top priority to addressing its infrastructure deficit to sustain economic growth.
- Steps have been taken to mobilise funds from various sources for development of infrastructure which includes, inter alia, launching of innovative financial vehicles.
- India has begun undertaking a major programme of monetising brown field assets of Central Public Sector Undertakings (CPSUs) as a separate asset class for infrastructure investments.
Panchayats are embracing digitization and internet is accessible for all!
- In the field of digitisation, India has completed the ambitious task of connecting 100,000 gram panchayats through high speed optical fibre network under phase-I of the Bharat Net project.
- The government also proposes to setup 500,000 wi-fi hotspots which will provide broadband access to 50 million rural citizens.
Agriculture sector is getting a modern touch!
- Around 470 Agricultural Produce Market Committees (APMCs) have been connected to the electronic National Agriculture Market (e-NAM) network providing a unified national market for agricultural commodities
- one of the key features of India’s economic performance in recent years has been the speed and scale of implementation of reforms.
- Recent upgrade of the sovereign rating reflects India’s strength, speed and scale of these ongoing reforms
GST has seen a stunning success, reveals Garg! USD 12.7 billion earnings in just 8 months of the implementation of GST
Within a short span of eight months, monthly earnings from GST have crossed USD 12.7 billion. The number of dealers registered in the GST database increased by about four million in the fiscal year of the roll-out which is about 60 per cent higher than unique assesses registered earlier in the VAT network in the country.
India has tremendously increased its ease of doing business! Jan-Dhan Yojana is a massive hit
- India’s massive leap in the Ease of Doing Business rankings from 142 in 2014 to 100 in 2017 is testimony to India’s commitment to long-term reforms for an open and vibrant economy. This is also reflected in strong FDI inflows which have grown from USD 34.3 billion in 2012-13 to USD 60.1 billion in 2016-17.
- In the arena of financial inclusion, the Jan-Dhan Yojana, launched in August, 2014, has rapidly expanded banking services for the hitherto deprived sections, he said. Till date, over 313 million bank accounts have been opened and savings of about USD 11.510 billion has been mobilised under the scheme.
What the IMF Economic Outlook report said?
- The Indian economy is expected to grow at an annual rate of 7.4% in 2018 and 7.8% in 2019.
- India’s economy is lifted by strong private consumption as well as fading transitory effects of the currency exchange initiative and implementation of the national goods and services tax.
- Over the medium term, growth is expected to gradually rise with continued implementation of structural reforms that raise productivity and incentivize private investment.