The Economic Survey 2023-24 on Monday was tabled in Parliament by Finance Minister Nirmala Sitharaman. The Survey is authored by Chief Economic Advisor V Anantha Nageswaran and his team. Here are the key highlights from Economic Survey 2024:
-Unprecedented third popular mandate of Modi government signals political, policy continuity
-India’s GDP growth projected at 6.5-7% in FY25 versus 8.2% in 2023-24
-Domestic growth drivers supported economic growth in FY24 despite uncertain global economic performance
-Unemployment rate declines to 3.2% in 2022-23.
-Over 34.7 crore Ayushman Bharat cards generated, 7.37 crore hospital admissions covered (as of July 8, 2024)
-Increased FDI inflows from China can help India enhance participation in global supply chain, boost exports
-As much as 54% of disease burden due to unhealthy diets; need transition towards balanced, diverse diet
-Remittances to India to grow at 3.7 pc to USD 124 billion in 2024, 4 pc in 2025 to reach USD 129 billion.
-Short-term inflation outlook benign, but India faces persistent deficit in pulses and consequent price pressures
-Expectations of normal monsoon, and moderating global prices of imports give credence to benign inflation projections by RBI
-India’s Power Grid emerges as one of the largest Unified Electricity Grids in World; 2.86 crore households electrified since the launch of Saubhagya in October 2017
-Suggests ways to explore whether India’s inflation targeting framework should target the inflation rate excluding food items
-Escalation in geopolitical conflicts and its impact may influence RBI’s monetary policy stance
-Outlook for India’s financial sector appears bright
-As financial sector undergoes critical transformation, it must brace for likely vulnerabilities originating globally or locally
-Healthier corporate and bank balance sheets will further strengthen private investment
-India’s policy adeptly steered through challenges, ensuring price stability despite global uncertainties
-Tax compliance gains, expenditure restraint, and digitisation help India achieve fine balance in govt’s fiscal management
-Capital markets becoming prominent in India’s growth story; market resilient to global geopolitical, economic shocks
-AI casts a huge pall of uncertainty over the impact on workers across all skill levels
-Despite being one of the fastest-growing economies in the World, India’s annual per capita carbon emission is only about one-third of the global average
-The share of non-fossil sources in the installed electricity generation capacity has reached 45.4 per cent up from 32 per cent in April 2014
-The services sector continues to contribute significantly to India’s growth, accounting for about 55% of the total size of the economy in FY24. As per provisional estimates, the services sector is estimated to have grown by 7.6% in FY24
-Tourism industry witnesses a YoY increase of 43.5% with over 92 lakh foreign tourist arrivals in 2023
-Share of MSMEs in manufacturing output stands at 35.4 per cent; Production Linked Incentive (PLI) scheme for 14 key sectors gives fillip to MSMEs
-Total enrolment in higher education increases to nearly 4.33 crore in FY22 from 3.42 crore in FY15, an increase of 26.5 % since FY15; Female enrolment in higher education increases to 2.07 crore in FY22 from 1.57 crore in FY15, a 31.6 per cent increase since FY15