10 Things to Know About the Economic Survey Report 2019
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The Economic Survey Report 2019 that came out this morning has been hailed by the experts in the way it urges the citizens to be bullish about the growth of the economy based on challenging some numbers going low. The masters of the survey turned out to be an investment and a sustained GDP of 8per cent which will ensure a decent growth rate for India.
In the Economic Survey report, Finance Minister Nirmala Sitharaman has said that to become a USD 5 trillion economy, India needs to sustain a growth rate of 8 per cent. Sitharaman also highlighted that the real gross GDP is expected to be 7 per cent this year.
The Chief Economic Advisor said that the fiscal deficit for 2018-19 is pegged at 3.4 per cent. It has gone down significantly from a 3.9 in 2015-16.
According to the report, oil prices have been predicted to decline in FY20. Sitharaman has said that if oil prices decline then it will help keep inflation in check and keep a check on saving money as well.
The report also highlighted that education and the gender divide need to be addressed without batting an eye. It says that there has been a remarkable improvement in the gross enrollment numbers for girls but the numbers narrow down and the gap increases as the girls’ enrolment rate is lower than that of boys at the higher education level.
Foreign Exchange Reserves
The foreign exchange reserves have increased to a whopping USD 412. 9 Bn this year.
The industrial growth in India is on an unstoppable rise. However, the economic survey highlighted as important aspect pertaining to 5G when it said that the upcoming 5G technology is an opportunity for Indian industry players to reach out to global markets while building a digital payment, knowledge and services economy.
On the investment front, the survey highlighted that the nation should work on savings and investment just like China’s model which will in turn help India significantly in job creation, high productivity and also higher exports. The Chief Economic Advisor also said, “Economy is now poised for take-off, investment is the key driver.”
Get Ready for Ageing
Among the demographic trends identified by the survey report, ageing seems to be something India needs to be prepared for. A few weeks ago, Amitabh Kant, CEO of NITI Ayog urged cab aggregators like Ola and Uber to hire retired people above 60 years of age as job opportunities for this age band are null.
The Finance Minister eloquently expressed her hopes from the EV sector and how India must create an environment for the companies in this field to flourish and prosper. She said that electric vehicles represent the next generation in sustainable mobility and that “India must emphasize on them.” The survey also highlighted that currently, the market share of electric cars is only 0.06 per cent when compared to 2 per cent in China and 39 per cent in Norway.
The report revealed a surprising feature when it pointed that 85per cent of the firms are small businesses and labour reforms can help “unshackle” them which in turn will ensure their growth.