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Eco Survey bats for sustained, calibrated measures to facilitate recovery


The Economic Survey was presented against the backdrop of an unprecedented economic situation due to Covid-19. The key number one looks for in the Survey is the expectation of GDP growth rate for the next fiscal year, which is the foundation for the Budget. The Survey is rich in analysis and comparisons with international data, making it an important policy document, as has been the case in previous years.
In State of Economy Chapter, it discusses ‘lives and livelihood’, ‘demand and supply shocks’ and analyses the economy using high-frequency data. It projects 10-12 per cent real GDP growth for FY22, mainly due to the sharp contraction in FY21. A 7.7 per cent contraction this year will make it the sharpest GDP fall in post-Independence history, and FY22’s growth the highest in the same period. Taking the mid value of the 10-12 per cent range, an 11 per cent real GDP growth on the face of it appears to be achievable. Along with 4 per cent GDP deflator growth, nomi ....

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