It's no zero-sum game; India can grow with China

Genial but sharp, soft-spoken but articulate, V. Anantha Nageswaran has a knack for balancing extremes.

- NIRMAL JOVIAL

INTERVIEW
V. Anantha Nageswaran, chief economic adviser to the Union government

The chief economic adviser to the Union government does not see the economy slowing down in the near future, but has already identified factors that would affect it in the long term. In an interview with THE WEEK, he talks about the effects of the Palestine-Israel conflict to India, the debt of the states and the need to prioritise health. Excerpts:

Q/ You said the short-term economic prospects of India were good and growth will be steady in the medium term, but beyond 2030, there would be major challenges. What are the issues that we should address now so that we can sustain the good growth rate?

A/ I believe our current growth rate is sustainable, maintaining a robust average of around 6.5 per cent per annum in real terms until the end of this decade. However, to sustain or even surpass this growth rate afterwards, there are internal challenges that we must address.

A key focus should be on ensuring that education and skilling of young Indians are adequate, making them increasingly employable. While there has been significant improvement—with the employability of graduates rising from one-third to 50 per cent—further enhancements are necessary.

Certain sectors still face skill shortages, indicating that graduates in specific specialisations are not yet job-ready. This aspect requires attention and transformation.