India will become $5 trillion economy by 2025, says Economic Affairs Secretary Subhash Chandra Garg
India is set to become a $5 trillion economy by 2025, Economic Affairs Secretary Subhash Chandra Garg said
New Delhi: India is set to become a $5 trillion economy by 2025, Economic Affairs Secretary Subhash Chandra Garg said on Monday.
"We expect to grow at about 7 to 8 percent in real terms and 9 to 10 percent in nominal terms.
"I think it's very reasonable to expect that we can achieve the five trillion economy mark. It's a reasonably set goal," Garg said during a panel discussion on 'Shifting role of associations for attaining $5 trillion GDP by 2025'.
He said that India was enjoying macroeconomic stability and exports, after declining for the last couple of years, had started to pick up.
He added the government was also on the path to keep inflation within two percent range of its four percent target.
Garg said that in order to capitalise on this macroeconomic environment and achieve the $5 trillion goal, India needed to improve its share in the global trade pie.
"As the global trade grows, we have to have a good part of it," Garg said.
He added that apart from a robust growth in the traditional sectors like textiles, India also needed to concentrate on services sector in an increasingly competitive global economy.
Known for his frank views, the economist and former RBI governor said the government needs to do more to prevent a K-shaped recovery of the economy hit by the coronavirus pandemic
Let us consider a few things that make it look like India is on the upswing, while sounding a few notes of caution
According to the RBI, it is expected that headline inflation will peak in the fourth quarter of the current fiscal and soften thereafter