Introduction and History of the Economic Survey

  • The Economic Survey 2023-24, an annual document reviewing the nation's economic performance, was recently tabled in the parliament.
  • Prepared under Chief Economic Adviser V. Anantha Nageswaran, it provides an outlook for the year ahead and summarises policy initiatives.
  • Since its inception in 1950-51, the survey has evolved into a separate volume from the budget documents in 1964.

Key Highlights from Economic Survey 2023-24

  • India's real GDP grew by 8.2% in FY24, and retail inflation decreased to 5.4%.
  • The Current Account Deficit (CAD) improved to 0.7% of GDP in FY24 from 2.0% in FY23.
  • The Gross Non-Performing Assets (GNPA) ratio dropped to 2.8% in March 2024 marking a 12-year low.
  • India remains the top global recipient of remittances, totalling USD 120 billion in 2023.

Sector-wise Performance Review

  • The services sector accounted for 55% of the economy and grew by 7.6% during FY24.
  • Healthcare services expanded with over 34.7 crore Ayushman Bharat cards issued.
  • The agriculture sector grew at a rate of 4.18% annually, and credit disbursed to agriculture mounted to Rs 22.84 lakh crore.
  • The industrial growth rate of 9.5% supported the economic growth of 8.2% in FY24.

Looking Towards the Future

  • With a focus on skill and job creation, agriculture, MSMEs, green transition, and educational-employment gap, India aims to sustain a 7%+ growth rate.
  • Predicted to become one of the fastest-growing insurance markets globally, India expects its gig economy workforce to reach 2.35 crore by 2029-30.
  • In adopting a nation-specific approach to climate change, India emphasises harmony with nature to offset Western overconsumption strategies.

Challenges and Solutions

  • Despite various headwinds like reliance on China for imports, tepid private investment, and AI threat to telecommunications and BPO sectors, India has identified potential solutions.
  • The survey cites the necessity for the private sector to embrace job creation and traditional lifestyle practices.
  • Revitalisation of the farm sector, reduction in regulatory burdens, and strengthening administrative capabilities are recommended for continued economic progress.

 

With such insightful analyses and valuable projections, the Economic Survey 2023-24 provides a comprehensive view of India's economic journey and its roadmap for future growth. The document serves as a vital resource for stakeholders across the spectrum, including policymakers, researchers, economists, students, and exam aspirants, with its wealth of economic indicators and analyses. The Economic survey is all about strategy- examining past actions, measuring current outcomes, and crafting future tactics- a reflection of India's strides in economic policymaking.