Niti suggests road map to achieve 9-10 per cent growth

Laying down a multi-pronged strategy to promote the country’s overall development, the document said the annual growth rate of 9-10 per cent by 2022-23 would be essential for generating sufficient growth and achieving prosperity for all. India will turn 75 on August 15, 2022.

“Steadily accelerate the gross domestic product (GDP) growth rate to achieve a target of about 8 per cent during 2018-23. This will raise the economy’s size in real terms from $2.7 trillion in 2017-18 to nearly $4 trillion by 2022-23.” The strategy document further said besides having rapid growth, which reaches 9-10 per cent by 2022-23, it is also necessary to ensure that growth is inclusive, sustained, clean and formalised. The Indian economy grew at 6.7 per cent in 2017-18.

Unveiling the much-awaited document, Finance Minister Arun Jaitley said, “Sound policy will always put economy on track in which it will get perpetually people out of poverty and give them better quality of life.” The development strategy includes doubling of farmers’ income, boosting ‘Make in India’, upgrading the science, technology and innovation ecosystem, and promoting sunrise sectors like fintech and tourism. It also called for increasing the investment rate as measured by gross fixed capital formation (GFCF) from present 29 per cent to 36 per cent of GDP by 2022.

Noting that the country is now within sight of completing its economic transition as well, the document said, “India will see per capita incomes rising from about $1,900 in 2017-18 to around $3,000 in 2022-23. According to the document, in agriculture, emphasis must shift to converting farmers to ‘agripreneurs’ by further expanding e-National Agriculture Markets (e-NAMs) and replacing the Agricultural Produce Marketing Committee (APMC) Act with the Agricultural Produce and Livestock Marketing (APLM) Act.

“The creation of a unified national market, a freer export regime and abolition of the Essential Commodities Act are essential for boosting agricultural growth,” it noted. Post release of the strategy document, Niti Aayog vice chairman Rajiv Kumar talking to reporters on agrarian crisis said, “Farm loan waiver is not a solution to farm sector distress. It is not a solution but is palliative.”

Echoing Kumar, Niti Aayog member and expert on agriculture Ramesh Chand said the farm loan waiver is no solution to address distress in the agriculture sector. The document also suggested that to ensure maximum employment creation, codification of labour laws must be completed and a massive effort must be made to upscale apprenticeships.