ORDERLY RECOVERY MARKS INDIA'S POST-PANDEMIC EXPANSION, ECONOMIC SURVEY 2023-24

The Economic Survey projects a promising outlook for India’s economy in FY25, with continued strong growth momentum expected despite geopolitical, financial market, and climatic risks, driven by macroeconomic stability, increased capital expenditure, and private investment

The Indian economy has demonstrated remarkable resilience and growth post-pandemic, with its real Gross Domestic Product (GDP) in 2023-24 exceeding its pre-pandemic level in 2019-20 by 20%, according to the Economic Survey 2023-24 tabled in Parliament on Monday. This achievement puts India among a select few major economies that have managed to recover and expand in an orderly fashion.

The Economic Survey notes that prospects for continued strong growth in FY25 look promising, despite geopolitical, financial market, and climatic risks. India’s economy has carried forward the momentum built in 2022-23 into 2023-24, despite external challenges, with real GDP growing by 8.2% in 2023-24, exceeding 8% in three out of four quarters.

The focus on maintaining macroeconomic stability has ensured that external challenges had minimal impact on India’s economy. The government’s thrust on capital expenditure and sustained momentum in private investment have boosted capital formation growth, with Gross Fixed Capital Formation increasing by 9% in real terms in 2023-24.