The country’s economy will begin to grow 6.5-7% from FY2023, aided by various reforms undertaken so far by the government and also as the COVID-vaccination campaign. 19 is progressing, said chief economic adviser Krishnamurthy Subramanian. He expects the impact of the second wave to not be very large. The country’s economy contracted by 7.3% in fiscal year 2020-2021.
“With the reforms and the focus on immunization, I expect growth to start hitting around 6.5-7% from FY 23 and pick up from there,” Subramanian said at a virtual event hosted by Dun & Bradstreet.
“Given the significant reforms that have been carried out over the past year and a half, I have no hesitation in saying that I look forward to a decade of strong growth for India. He said the recovery momentum seen in the fourth quarter of FY21 and overall in the second half of FY21 had been affected to some extent by the second wave of COVID-19.
While the second wave was quite devastating on the health side, its economic impact was limited as the second route was much shorter compared to the first wave and the economic restrictions that were imposed were mostly at the level of the State, he said. . “We expect that the impact of the second wave will not be very large,” he said.
Subramanian said that various reforms undertaken by the government in sectors such as agriculture, labor, PLI export program, change of definition of MSMEs, creation of bad bank, privatization of public sector banks , among others, will stimulate growth.