Policy Consistency And Reforms Leading To Growth: Niti Aayog’s CEO

Highlighting that India is one of the shining stars on the global horizon, the Chief Executive Officer (CEO) of Niti Aayog BVR Subrahmanyam stated that policy consistency and reforms has led to a spectacular growth path. He said that we ended last fiscal year at about 8.2 per cent growth rate and are poised to be the third largest economy by 2027. Today, our contribution to incremental global growth is about 20 per cent which will only increase.

At a special industry interaction organised by the Associated Chambers of Commerce and Industry of India (Assocham), he said, “The first shot at liberalisation in the 90s unleashed a lot of hidden talent within our people resulting in the first big wave of growth. Earlier reforms used to be reform by stealth, but in the past 10 years, there has been a dramatic change in terms of reforms and commitment to reforms. Reforms like the setting up of the Insolvency board, GST and focus on digital infrastructure has, from a business point of view, made life much easier.

Shedding light on the roadmap to be a developed nation by 2047, he stated, “We are at 10 per cent of our potential and we have a lot of work to do. To achieve Viksit Bharat by 2047, India will have to be a construction site and that India which we built should be green and sustainable to global and domestic finance. I believe that we can surely live up to that potential.”

He added that the government has done a very good job by taking capex to GDP ratio to 3.2 from the traditional 1.4. Corporate tax rates today in India are comparable to the best in the world and 40 per cent of India's exports are from the micro small and medium enterprises (MSMEs). According to the CEO, the credit guarantee scheme for MSMEs should be continued longer because that has actually been a lifeline, and it has helped the industry recover very fast after Covid.

Sanjay Nayar, President of Assocham highlighted that there is significant policy consistency and a series of impactful reforms that have supported economic progress. He pointed out the marked uptick in the real Estate sector indicator of broader economic momentum. He also emphasised the government’s successful push for digitisation, which has enabled deeper penetration of subsidies and reforms across the system.