If India “chugs along”, 6-7 per cent GDP growth will be “automatic”, while 7-8.5 per cent growth is possible if the nation continues on the path of reforms, according to the outgoing Chief Economic Advisor, Arvind Subramanian.
However, to get to double-digit growth, the world economy also has to grow, which is not happening at the moment, Subramanian told BusinessLine .
“When we came, the international environment was more in our favour. Oil prices were coming down, the government had come to power, and it was possible for us to chart out where the economy should be headed,” recalled the CEA, who is exiting well ahead of the end of his tenure in May 2019.
“But we recognised that a twin balance-sheet problem had to be solved, and big reforms like GST were in the pipeline.”
The CEA counts the GST followed by the IBC as the biggest reforms over the past four years.
“The fact that we maintained micro stability was important, and as we said in the Survey, the PM’s vision was providing essential goods and services to the poor: toilets, Ujjwala, housing, bank accounts, power and so on. So there was a growth side and the social side,” he said.
via 6-7% growth is automatic; 7-8.5% is possible with reforms: CEA – Today’s Paper – Business Line
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