ADB Calls India’s 7% Projected Growth ,Amazingly fast…
MANILA (Phillippines): The Asian Development Bank (ADB) has said that India’s projected GDP growth of over seven percent for the current fiscal is amazingly fast and if this momentum is maintained the size of the economy can double within a decade.
ADB Chief Economist has said that growth is driven more by domestic consumption than exports.
The ADB has projected India to remain the fastest growing Asian nation with 7.3% growth in 2018-19, and 7.6% in 2019-20.The size of India’s economy is about 2.5 trillion US dollars currently, making it the sixth largest in the world.Economic Affairs Secretary Subhash Chandra Garg had said recently that the country is on track to double the size of its economy to five trillion dollars by 2025.
In an interview with news agency PTI, ADB Chief Economist Yasuyuki Sawada said, India should not worry about not achieving 8 per cent growth but focus on increasing domestic demand by reducing the income inequality.
He said growth is driven more by domestic consumption than exports. Mr Sawada said inequality and poverty reduction would play a very important role in achieving higher growth because consumption can stimulate more production and that can create more employment.
He said tapping the broadening market will be important to achieve higher growth, adding that the services sector too would play a role in pushing up economic growth. ADB has projected India to remain the fastest growing Asian nation with 7.3 percent growth in 2018-19, and 7.6 percent in 2019-20.
