Economic Survey: India's economic growth pegged at 11 pc for FY22

Finance Minister Nirmala Sitharaman on Friday presented the Economic Survey that details the state of the economy ahead of the government's Budget for the fiscal year beginning April 1, 2021.

The Economic Survey 2020-21, authored by a team led by Chief Economic Adviser Krishnamurthy Venkata Subramanian, details the state of different sectors of the economy as well as reforms that should be undertaken to accelerate growth.

The economy, which was battered by the coronavirus lockdown, is expected to see a strong recovery in the 2021-22 fiscal year.

The gross domestic product (GDP) contracted by a record 23.9 percent in April-June and by 7.5 percent in the second quarter.

For the full fiscal, the survey projected a contraction of 7.7 percent and a V-shaped recovery in the next.

GDP growth is seen expanding by 11 percent in 2021-22 fiscal (April 2021 to March 2022).

Addressing a joint sitting of both Houses of Parliament on the first day of the Budget session, President Ram Nath Kovind said after the abrogation of the provisions of Article 370 of the Constitution, the people of Jammu and Kashmir have been empowered with new entitlements.

"My government is committed to counter the forces challenging the sovereignty and unity of the country at every level. While on one hand development is being promoted in violence-affected areas, on the other hand, firm action is being taken against the forces inciting violence," he said.

As a result of this, Kovind said the number of incidents involving Naxal violence has declined and the Naxal-affected area is shrinking.

Prime Minister Narendra Modi on Friday said Finance Minister Nirmala Sitharaman had to give four-five mini-budgets in the form of packages in 2020 and expressed confidence that the upcoming budget would also be seen as part of that series.

In his remarks to the media before the commencement of Parliament's Budget Session, Modi said the first session of this decade commences on Friday, and emphasised that this decade is very important for the bright future of India.

Keeping in mind this decade, there should be discussions and presentation of different views this session, he said.

(Disclaimer: Additional background information has been added to this PTI copy for context)

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