Virendra Singh Rawat / July 22, 2024
The Economic Survey 2023-24 painted a rosy picture of the Indian economy, which the report claimed had exhibited resilience in the face of several many geopolitical upheaveals.
The 476-page Economic Survey 2023-24 was presented in Parliament by Finance Minister Nirmala Sitharaman.
It underlined that India's economy has rebounded post pandemica. Indian policymakers played a crucial role in facilitating economic and financial stability.
"For the recovery to be sustained, there has to be heavy lifting on the domestic front because the environment has become extraordinarily difficult to reach agreements on key global issues such as trade, investment, and climate," the Survey read.
Public investment has been pivotal in sustaining capital formation, with the private sector starting to invest considerably since FY22.
The survey pointed out that the headline inflation is under control, although a few food items remain elevated.
Trade deficit in FY24 was lower vis-a-vis FY23, with the current account deficit around 0.7% of GDP even as the forex reserves remain robust.
National income data shows expansion in non-financial private capital formation in FY22 and FY23 after a decline in FY21.
Despite a slide in investment in machinery and equipment during FY20 and FY21, there was rebound.
Early corporate data for FY24 indicate capital formation in the private sector continued to expand at a slower rate.
Global economic growth posted 3.2 per cent in 2023 per the April World Economic Outlook.
India’s economy carried forward the momentum it generated in FY23 into FY24 despite a gamut of external challenges.
India's real GDP grew by 8.2% in FY24, exceeding 8% in three out of four quarters of FY24. The focus on maintaining macroeconomic stability ensured that external challenges had minimal impact on India’s economy.
Inflationary pressures stoked by global troubles, supply chain disruptions, and vagaries of monsoons were deftly managed by administrative and monetary policy responses.
