Projections on growth rate should not be paid much attention, said Sanjeev SanyalIndia's economy is on the mend after the pandemic-induced shocks however it might take an additional year approximately to achieve the $5 trillion-mark, stated Sanjeev Sanyal, Principal Economic Consultant to the Union Ministry of Finance, on Wednesday.
The GDP growth rate is anticipated to be favorable in the April-June quarter, he stated, talking to reporters here.
Naturally, disturbances will exist.
We had set a target of ending up being a $5 trillion economy by 2024-25.
It might take an extra year approximately to attain this, he said.
Offered the shocks we went through (due to the COVID-19 pandemic), it's nothing, said Sanyal, here to participate in a program of the Department of Economics of Devi Ahilya University.
The economy has begun to recover rapidly after the second wave of the pandemic went away, and the GDP growth rate is anticipated to be favorable in the April-June quarter, he said.
If no major damage from the (possible) third wave of the pandemic is seen in the country and vaccination continues at the exact same rate, then you will see growth in the economy in the next three-four months, Sanyal added.On the demand to bring petrol and diesel under the purview of the Goods and Provider Tax (GST) amid rising fuel costs, he said, Well, this concern must be dealt with to the GST Council and not to me.
However, I am of the opinion that this topic is not a matter of conversation at this moment of time because the GST system has to be kept stable for a long time, he added.The government is taking inflation seriously, however there was need to take careful steps to manage it as economic activities in the country have actually just been recuperating after the 2nd wave of the pandemic, Sanyal said.International rating companies keep altering their growth projections about the Indian economy however there has been no modification in the government's stand, he said.
Our presumption in the spending plan was that the real development rate of the Indian economy in the existing financial year will be 10.5 percent, he said.
Financial activities are gaining momentum and forecasts about growth rate should not be paid much attention, Sanyal added.