Source: ET Now

Prime Minister Narendra Modi recently emphasized that the Indian economy is on a trajectory of “sustained high growth” and is poised to become a developed nation by 2047. Addressing the Kautilya Economic Conclave, PM Modi highlighted India’s remarkable achievements and the transformation taking place across various sectors. His speech underscored the ongoing efforts to make India not just one of the fastest-growing economies, but also a leader in technological innovation, financial inclusion, and sustainable development.

The Growth Story

PM Modi’s address detailed the strong economic fundamentals and the government’s ongoing reforms, which have propelled India to become the fifth-largest economy globally. He emphasized that India’s growth is not just about numbers but about creating an inclusive and equitable economy. The Prime Minister highlighted that 25 crore people have been lifted out of poverty in the last decade, signaling the tangible impact of government policies on citizens’ lives.

Furthermore, PM noted that India is currently the world’s largest producer of two-wheelers and tractors, and the second-largest manufacturer of mobile phones. With the largest pool of scientists and technicians globally, India is also making strides in research, technology, and innovation. He attributed this success to the mantra of “reform, perform, and transform,” which has been the guiding principle of his administration since he took office.

Key Sectors Driving Growth

The PM shed light on several sectors where India is setting global benchmarks. For instance, India is leading in financial technology adoption, with nearly half of the world’s digital transactions happening in the country. This robust fintech infrastructure is a testimony to India’s growing digital prowess and its efforts to integrate more citizens into the formal financial system.

In renewable energy, India ranks fourth globally in capacity, indicating its commitment to sustainable development. This push is part of a broader strategy to reduce dependence on fossil fuels and harness clean energy sources, aligning with global climate goals. Similarly, the government has opened up the mining and defense sectors to private investment, liberalized Foreign Direct Investment (FDI) norms, and reduced compliance burdens, making it easier to do business in India.

Inclusive Growth and Structural Reforms

PM Modi emphasized that inclusive growth remains a cornerstone of India’s economic policy. Initiatives like GST implementation, the Insolvency and Bankruptcy Code, and the strengthening of the banking system are aimed at creating a more transparent and resilient economic framework. He assured that structural reforms would continue to ensure that India remains on a high-growth path. By 2047, the government envisions India as a fully developed nation, characterized by high per capita income, robust infrastructure, and a skilled workforce.

Challenges and the Way Forward

While PM’s outlook for the economy is optimistic, challenges such as global uncertainties, inflationary pressures, and infrastructural bottlenecks need to be addressed. The ongoing geopolitical tensions and global economic slowdown pose risks, but Modi reiterated that India’s strategic policies and reforms have positioned it as a “sweet spot” for investors. He asserted that this confidence is reflected in the mandate of 140 crore citizens, who have elected his government for a third consecutive term—a testament to their faith in the country’s growth trajectory.

India’s growth journey is a blend of rapid industrialization, technological innovation, and inclusive policies. As the world grapples with economic uncertainties, India’s focus on sustainable growth, digital transformation, and structural reforms makes it a promising economy. PM Modi’s vision for a developed India by 2047 is ambitious but achievable with continued reforms and a collaborative effort between the government, private sector, and citizens. With a strong economic foundation, India is poised to emerge as a leading global power in the coming decades.

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