Activate domestic levers for higher and sustainable growth

THE ECONOMIC SURVEY 2024-25, tabled in Parliament just six months after the previous survey, highlights the rising importance of domestic growth levers (as compared to the external ones) in the coming years, if India seeks to grow at a steady and sustainable pace.

- RUPA REGE NITSURE INDEPENDENT ECONOMIST

This is against the backdrop of heightened uncertainty in the global environment.

According to the Survey, the previous global paradigm, characterised by relatively 'stable geopolitics' and 'free trade and investment movement', has been fading and the foundations on which many nations built themselves are now being shaken.

Even if India is the fastest-growing economy in the world, it does not enjoy the cushion of a higher per capita income, as enjoyed by the developed nations.

Many other risks originate from global arena like China's prominent role in global supply chains. China has now emerged as a dominant force in the global manufacturing and energy transition ecosystems. China has achieved this by consistently working on its competitiveness and controlling key resources that are critical for global supply chains.