Eco Survey predicts GDP growth at 6.5-7%, push for job creation, Chinese investment

‘INDIA NEEDS 78.5 LAKH JOBS IN NON-FARM SECTOR ANNUALLY TILL 2030’

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Suggests removing food from inflation-targeting framework, calls for re-examination

The government’s pre-Budget Economic Survey, released on Monday, forecasted a conservative GDP growth rate of 6.5 to 7 per cent for the current fiscal year. The survey highlighted the need for increased job creation and advocated for greater Chinese direct investments to enhance exports.

Authored by the chief economic advisor’s office, the report suggested considering inflation targets that exclude food prices, which are more affected by supply issues than demand.

It also issued a cautionary note regarding the booming stock markets, noting that increased retail investor participation could lead to speculation driven by overconfidence and high return expectations.

Presented by Finance Minister Nirmala Sitharaman in Parliament, the Survey projected a GDP growth rate of 6.5 to 7 per cent for the fiscal year beginning in April. This is lower than the 8.2 per cent growth observed in the previous 2023-24 fiscal year and below the Reserve Bank of India’s (RBI) 7.2 per cent estimate for the current year.