Indian Economy-News & Updates

[AugenBlick]

10% will be optimal but hard to achieve.. With GST and a bit favorable international climate including depressed oil prices, we can reach 8.5 to 9 easy

 

[MKC]

Achieving 10% may not be a problem, this year monsoon is predicted to be above average so we can expect good agricultural output but sustaining 10% for years is almost impossible for most of the countries except a few example like Japan.
Even today our economy is about 30% more than claimed, seriously Niti Aayog chief executive officer Amitabh Kant or some misreporting as usual

 

[flamer84]

0% poverty line ? welcome to Utopia....

 

[pts_m_h_2016]

Delusions.

 

[cerberus]

Another Indian brain fart. India is hardly growing at 7% and they dream of 10%

Yes This Brain Fart is Predicted By Every Major Economic Organisation around the World IMF ,World Bank,CIA

 

[randomradio]

Next year, manufacturing will add 1%, transportation will add 1% and agriculture will add 1% (considering it rains properly) to economic growth.

India is growing at 7.5% in the middle of a slowdown, that says a lot.

 

[migflug]

http://niti.gov.in/mgov_file/presentations/Presentation for Civil Service Day final.pdf

http://www.business-standard.com/ar...to-remove-poverty-by-2032-116042200070_1.html

http://www.business-standard.com/ar...ndia-inc-touch-a-new-peak-116042200083_1.html

2032
Grand plan: 10% GDP growth; 175 million jobs; $10-trillion economy
Archis Mohan, Jyoti Mukul & Nivedita Mookerji | New Delhi April 22, 2016 Last Updated at 00:59 IST


Pro-rural push on govt agendaThe near death, and revival, of MGNREGSIs the worst over for rural economy?Rural Electrification Corporation hits 52-week low; turns ex-dividendNokia ties up with IIT-Madras to boost rural broadband connectivity
Transforming India, an ambitious action plan finalised after two months of brainstorming shepherded by Prime Minister Narendra Modi, has recommended a slew of reforms to be implemented by ministries and departments if India has to grow by 10 per cent per annum until 2032. This, according to the action plan, will totally eradicate poverty from India in the next 16 years and also create 175 million new jobs.

"Growing at 10 per cent will transform India - India will be a $10 trillion economy with no poverty in 2032," the plan states. In 2015-16, the size of the Indian economy was a little over $2 trillion and the gross domestic product growth was around 7.6 per cent. As part of first steps in this grand plan, the government has set out to implement WTO-compatible procurement norms by 2017-18, achieve 100 per cent rural electrification by May 2018, increase rural teledensity to 100 per by 2020, reach broadband connectivity through optical fibre to all gram panchayats by December 2018 and have 175 million broadband connections by 2017.

The 23-page action plan also envisages reforms in the agriculture and allied sectors, including deregulation of genetically engineered (Bt) insect-resistant pulses by 2017-18, creation of buffer stock for pulses by 2017-18 and target 15 million metric tonnes of fish production by 2020. It also plans to implement seeding of Aadhaar number in 90 per cent of ration cards by the end of FY17. PAN (Permanent Account Number) is to be made mandatory for all businesses and entities and serve as unique business identifier also by the end of FY17.


ALSO READ: PM Modi wants India free from poverty, corruption: Venkaiah Naidu

"The entire process from ideation to action took barely two months," NITI Aayog Chief Executive Officer Amitabh Kant said. The process was initiated with the PM holding a meeting with all the secretaries to the government in December. At the meeting, Modi called for radical thinking which could take India forward, cutting across the silos of line departments and ministries.

The PM identified eight themes and decided to constitute eight groups of secretaries to come out with recommendations and a road map for each of the themes. The objective of the action plan was to foster development but with inclusive growth and efficiency. According to a secretary, the PM was happy with the finalised action plan. He told the secretaries that no expert group could have made such recommendations because these have come from people who think the plan is doable.

ALSO READ: India to continue on growth path for 10-20 years to root out poverty: Arun Jaitley

However, not all agreed with the ambitious target of India achieving 10 per cent growth for the next 16 years. "While desirable, 10 per cent growth is wishful thinking when we are struggling to maintain even 7.5 per cent increase in gross domestic product per annum," a secretary, who was part of the process, said.

Kant said the recommendations by the groups of secretaries were circulated among all ministries. "Every ministry examined it and prepared an action plan based on what can be implemented. Some of these actions were announced in the budget. The remaining we have put together in sub-themes which have target dates," Kant said. NITI Aayog has been assigned the responsibility to monitor the implementation of these action plans and would be creating a dashboard for this.

The eight themes identified by the PM were - accelerated growth with inclusion and equity; employment generation strategies; universal access to quality health and education; good governance; farmer-centric Issues in agriculture and allied sectors; Swachh Bharat and Ganga Rejuvenation; energy conservation and efficiency and innovative budgeting and effective implementation.

The government plans to have proactive consultations with the states as they "have an important role in implementation of a number of these initiatives on pan-India basis."
CENTRE'S ACTION PLAN FOR TRANSFORMING INDIA

• Seeding of Aadhaar number in 90% ration cards by March 2017
  
• Increase rural teledensity to 100% by 2020
  
• 175 million broadband connections by 2017
  
• Deregulation of genetically engineered (Bt) insect-resistant pulses by March 2018
  
• WTO-compatible procurement norms by March 2018
  
• Third-party scrutiny of road project execution agencies by end of 2016
  
• VC funds for start-ups by end of 2016
  
• PAN mandatory for all businesses - to serve as unique business identifier by March 2017

 

[Bad Guy]

such a prediction is nothing but propaganda.

As far as I know, India is only going and seeming to go near goal, so not a propaganda.
Sorry mods, for replying old thread. Please don't ban me.

 

[dreamer4eva]

India does not need to grow at 10% to reach 10 trillion mark. It can be achieved even with 7% groth which is more sustainable anyway. Rupee appreciation (in nominal terms) may even expedite the process before 2032. I think 10% growth days are truly over for any middle to major economy, advances in 3D printing will lead to more localised manufacturing in the built up world and will have an impact on India becoming a manufacturing hub,thus, would be even harder to achieve 10% growth for prolonged period. From now onwards, export oriented economies such as Korea, Japan and Taiwan will grow at meager rates. Chinese have already figured it out during GFC that this manufacturing binge is not sustainable, and have taken steps to drive towards consumption based growth.

 

[Bad Guy]

India does not need to grow at 10% to reach 10 trillion mark. It can be achieved even with 7% groth which is more sustainable anyway. Rupee appreciation (in nominal terms) may even expedite the process before 2032. I think 10% growth days are truly over for any middle to major economy, advances in 3D printing will lead to more localised manufacturing in the built up world and will have an impact on India becoming a manufacturing hub,thus, would be even harder to achieve 10% growth for prolonged period. From now onwards, export oriented economies such as Korea, Japan and Taiwan will grow at meager rates. Chinese have already figured it out during GFC that this manufacturing binge is not sustainable, and have taken steps to drive towards consumption based growth.

If you will research, you'll come to know that Government is building 18000km more highways and a dense high speed network to connect the nation for easy flow of money.
There are several economic corridors being planned and 98 Developed cities to pull backward states near richer states.

Current 5 years plan is from Congress. Next five year plan (2017-22) is going to decide who's correct. Your satisfaction or my optimism.
Arun Jaitely has already said that 11% is even feasible.
If not 10%, India will grow much faster after a huge skilled(30-40% target by 22) labour force, 60 crore internet users (today 47 crore), and 98 economic cities,
2017-22 will be era of construction of India.
This isn't a joke man, a country like India must grow much faster than 7.5%.
Today, we have an IT centred, and service based economy. Onve we get skilled people in metallurgy and electronics, our tech will also get enough room for civilian and military platforms.
But the major boom will be after 2022, with all of plans implemented.
1. 400-500 million skilled labour force.
2. High speed and probably even bullet if completed by then, train systems.
3. 20 Metro systems.
4. 19-20000 km highway connecting different States (means reducing gap between Punjab and Bihar).
5. 70-80 crore internet users.
6. A population of 140 crore.
7. An HDI of around 0.700, poverty ratio around 7-8% and literacy rate 80-85%.
8. A middle income economy with GDP per capita around $3000-3200 in nominal and $10000+ in PPP
9. Government has target to produce lakhs of industrialists by Start Up India, Stand Up India plan.
10. 2-5 Chilp Fabrication Plants (FABs) to produce electronics locally.
11. Less than 15% open defecations.(Must complete this target, it's a huge shame to our country).
12. A 4.5-5 trillion nominal economy, almost of size of UK, Japan and Germany and 14-1 5 trillions in PPP around 55-60% of US Economy at that time if current growth goes on.
13. Bringing a dozen Indian institutions into top 100 of world.
These are some projections of current growth and targets decided by government.

Though population growth will slow down significantly so we'll need higher GDP per capita growth to maintain growth.
In fact, structure of our economy was never made to do what we want. That's problem of manufacturing and technical advancement.
It we can file 3400+ USTPO patents in such conditions, think where our IQ and technological knowhow can go in a competitive environment?

5 year plan 2017-22 can reshape our economy.
Please contribute, pay your taxes on time, if getting any poor, help them and try to get in contact with government plans, if you're an NRI, try to come back and work for India (my uncle and cousin moved business here. ), if you've significant amount of money and wanna do business, don't hesitate in taking loan for doing it better, India needs business man badly.
It not only gonna benefit you, it will make lives of those $1.3 billion people easier.
Regards

 

[dreamer4eva]

If you will research, you'll come to know that Government is building 18000km more highways and a dense high speed network to connect the nation for easy flow of money.
There are several economic corridors being planned and 98 Developed cities to pull backward states near richer states.

Current 5 years plan is from Congress. Next five year plan (2017-22) is going to decide who's correct. Your satisfaction or my optimism.
Arun Jaitely has already said that 11% is even feasible.
If not 10%, India will grow much faster after a huge skilled(30-40% target by 22) labour force, 60 crore internet users (today 47 crore), and 98 economic cities,
2017-22 will be era of construction of India.
This isn't a joke man, a country like India must grow much faster than 7.5%.
Today, we have an IT centred, and service based economy. Onve we get skilled people in metallurgy and electronics, our tech will also get enough room for civilian and military platforms.
But the major boom will be after 2022, with all of plans implemented.
1. 400-500 million skilled labour force.
2. High speed and probably even bullet if completed by then, train systems.
3. 20 Metro systems.
4. 19-20000 km highway connecting different States (means reducing gap between Punjab and Bihar).
5. 70-80 crore internet users.
6. A population of 140 crore.
7. An HDI of around 0.700, poverty ratio around 7-8% and literacy rate 80-85%.
8. A middle income economy with GDP per capita around $3000-3200 in nominal and $10000+ in PPP
9. Government has target to produce lakhs of industrialists by Start Up India, Stand Up India plan.
10. 2-5 Chilp Fabrication Plants (FABs) to produce electronics locally.
11. Less than 15% open defecations.(Must complete this target, it's a huge shame to our country).
12. A 4.5-5 trillion nominal economy, almost of size of UK, Japan and Germany and 14-1 5 trillions in PPP around 55-60% of US Economy at that time if current growth goes on.
13. Bringing a dozen Indian institutions into top 100 of world.
These are some projections of current growth and targets decided by government.

Though population growth will slow down significantly so we'll need higher GDP per capita growth to maintain growth.
In fact, structure of our economy was never made to do what we want. That's problem of manufacturing and technical advancement.
It we can file 3400+ USTPO patents in such conditions, think where our IQ and technological knowhow can go in a competitive environment?

5 year plan 2017-22 can reshape our economy.
Please contribute, pay your taxes on time, if getting any poor, help them and try to get in contact with government plans, if you're an NRI, try to come back and work for India (my uncle and cousin moved business here. ), if you've significant amount of money and wanna do business, don't hesitate in taking loan for doing it better, India needs business man badly.
It not only gonna benefit you, it will make lives of those $1.3 billion people easier.
Regards

I totally agree with your sentiment for a country like India 7.5% growth is not acceptable, although more than 10% growth is possible, however, not for prolonged period of time. It is also due to the size of Indian economy, pretty tough to grow 10% year after year when you are 2 trillion economy. I know some people in Macquarie Group, who have first hand knowledge of Chinese infrastructure development, they have spent money like there is no tomorrow over there, you may have heard about ghost cities/malls in inland Chinese cities. And even spending these humongous amounts, their growth rate stayed pretty close to 10%. Yanks spent billions in 50s-60s on infrastructure development and reaped the rewards in 70s-80s. India is no way spending the amount of money on infrastructure to my liking, feel free to correct me if that is not the case. Indian population gonna start plateauing around 2030 and it may even start to decline post 2045, and it'll increase overall per capita income.

One aspect I'm really bullish about is the startup scene in India, it is going through the roof at the moment. Most of startups at moment are low IP ones such as justdial, flipkart, zomato etc., however, high IP ones are not far away, especially opening up of defence sector will certainly catch entrepreneurs eye, most likely in army combat vehicles and satellite making space. Few of my mates have actually moved back to India for good, and I'm planning to do the same, trying to convince better half atm and she is not very keen on this.

 

[heisenberg]

how to stop rupee depreciation??

 

[Bad Guy]

I totally agree with your sentiment for a country like India 7.5% growth is not acceptable, although more than 10% growth is possible, however, not for prolonged period of time. It is also due to the size of Indian economy, pretty tough to grow 10% year after year when you are 2 trillion economy. I know some people in Macquarie Group, who have first hand knowledge of Chinese infrastructure development, they have spent money like there is no tomorrow over there, you may have heard about ghost cities/malls in inland Chinese cities. And even spending these humongous amounts, their growth rate stayed pretty close to 10%. Yanks spent billions in 50s-60s on infrastructure development and reaped the rewards in 70s-80s. India is no way spending the amount of money on infrastructure to my liking, feel free to correct me if that is not the case. Indian population gonna start plateauing around 2030 and it may even start to decline post 2045, and it'll increase overall per capita income.

One aspect I'm really bullish about is the startup scene in India, it is going through the roof at the moment. Most of startups at moment are low IP ones such as justdial, flipkart, zomato etc., however, high IP ones are not far away, especially opening up of defence sector will certainly catch entrepreneurs eye, most likely in army combat vehicles and satellite making space. Few of my mates have actually moved back to India for good, and I'm planning to do the same, trying to convince better half atm and she is not very keen on this.

Did you read my post? Or know about next five years plan.
Humongous amount of money will spent for infrastructure.
3-4000 km highway alone every year.
Rest things are different.

 

[Ryuzaki]

Railway Ministry plans to invest Rs 40000 crore in Mumbai: Suresh Prabhu

http://economictimes.indiatimes.com...mumbai-suresh-prabhu/articleshow/51942267.cms

 

[lover]

it will take atleast 20 year more ...