Economic Survey 2022 pegs GDP growth in the range of 8-8.5% for FY23

The Economic Survey for 2021-22 has projected a GDP growth rate in the range of 8-8.5 per cent for the next fiscal 2022-23 (FY23) signalling a pick up in momentum as the economy escaped relatively unscathed from the third wave of the virus.

The economy is projected to grow at 9.2 per cent in the current fiscal, the economic survey stated. This is in line with the first advance estimates released earlier this month.

Growth will be supported by “widespread vaccine coverage, gains from supply-side reforms and easing of regulations, robust export growth, and availability of fiscal space to ramp up capital spending," the Economic Survey said.


The projection is based on the assumption that there will be no further debilitating pandemic related economic disruption.

This comes on the back of the first advance estimates of the economy projecting a growth of 9.2 per cent. The IMF in its outlook has projected a growth of 9 per cent for the current fiscal and the next.

India's economy suffered severely in FY21 as it declined by more than 7 per cent due to the first wave of the pandemic that brought with it stringent curbs.

Increased expenditure by the government and a benign interets rate policy from the RBI helped in nursing the economy back to health.

Prime Minister Narendra Modi, at the start of the Budget session today, said that the coming year can take India to new economic heights.

Consistent support from the government and announcement of policy measures along with maintaining a focus on capital expenditure were key in reviving the economy.

However, rising household debt along with the challenge of job creation still poses worry for the durability of the recovery.

Finance Minister Nirmala Sitharaman will present the Union Budget tomorrow. She is expected to increase the overall capital expenditure in the economy which will in turn help in crowding in private investment and aid job creation.