Ex Niti Aayog VC says India’s economy to grow at 6% in 2023-24

Former Niti Aayog Vice Chairman Rajiv Kumar said India is likely to clock 6% growth in the next fiscal year. According to him, the high growth rate can be preserved because of several reforms undertaken during the last eight years by the Narendra Modi government.

He added, in an interview with PTI, that major risks going forward will emerge from a synchronised downturn in the North American and European economies.

"These will have to be tackled through careful policy measures designed to support our export efforts and at the same time improve the flow of private investment both from domestic sources as well as from foreign sources," he said.

When asked about the high inflation rate, Kumar said that Reserve Bank has said it will ensure that the inflation rate is brought under control. "Also a good winter crop will help in keeping the food prices low," he noted.

India's retail inflation in January was 6.52%.

On the rising trade deficit with China, he said there are several products that India can export to China and that New Delhi should re-engage with Beijing to find market opportunities in the Chinese market.

According to recent data by Chinese customs, trade between India and China reached an all-time high of $135.98 billion in 2022, while New Delhi's trade deficit with Beijing crossed the $100 billion mark for the first time despite tense bilateral relations.

Replying to a question on the Adani crisis, Kumar said a robust public-private partnership is essential for developing infrastructure at the rate required. "I don't think that one such incident with a private family company will hamper that effort," he said.

According to Kumar, there are a large number of private sector companies that have participated in infrastructure development in the past and will continue to do so going forward.