PM Modi: India will definitely regain its economic growth | India Business News
Promising to undertake more structural reforms that will change the course of the country, he explained the concept of Atma-nirbhar Bharat or Self-Sufficient India, one in which products are made in India for the world and a nation that does not depend on others in strategic sectors.
Speaking at the IIC Annual Session, he called on India Inc to rise to the challenge and partner with rural India in these trying times.
“On the one hand, we have taken difficult measures to combat the virus and, on the other, we have dealt with the economy,” he said.
“We have to save the lives of citizens and at the same time stabilize the economy and accelerate growth,” he added.
Indian industry, he said, has begun to talk about “picking up growth.”
“I will go beyond regaining growth to say yes! We will definitely regain our growth,” he said, expressing his confidence in Indian farmers, small businesses and entrepreneurs for helping to achieve this.
Meanwhile, Moody’s Investors Service downgraded India to the lowest investment grade level on Monday and kept it in a negative position. This is because the country faces a prolonged period of slower growth in relation to its potential and the increase in debt.
He teamed up with S&P Global Ratings and Fitch Ratings to predict the first contraction in GDP in more than four decades and an outbreak of fiscal deficit as the coronavirus pandemic spreads.
The reforms, he said, mean the courage to make decisions and bring them to their logical conclusion. The government is trying to create a facilitating ecosystem for private companies, he said.
During the closure, the government opened non-strategic sectors to the private sector. It liberated the coal sector by allowing commercial mining and allowed the private sector to invest in sectors such as space and atomic energy. In addition, long-standing labor reforms are underway.
To get back on the growth path, the country must focus on intention, inclusion and infrastructure.
“Recovering growth is not that difficult and the path to that is Atma-nirbhar bharat,” he said.
Self-sufficient India means that the country will embrace the world by strengthening itself. “Atma-nirbhar bharat will be fully integrated with the world economy and will also be supportive.”
“We have to invest in the strong local supply chain that can strengthen India’s participation in the global supply chain,” he said. “There is a need to create products made in India and made for the world.”
Self-sufficient India is about reducing imports, improving productivity targets and not depending on others in strategic sectors, he said.
“It is about creating strong companies in India. Companies that can become global forces. It is about creating jobs. It is about empowering people to go out and create solutions that can define the future of our country.”
India, he said, can increase exports and create jobs in the furniture, air conditioning, leather and footwear sectors.
After more than two months of the world’s most expansive blockade, the country has entered ‘Unlock Phase One’.
“Under phase one unlocking, a large part of the economy has opened up,” he said, adding that the blockade had been effective in controlling the spread of the coronavirus.
Claiming that strengthening the economy was one of the government’s top priorities, he said that decisions made since March will help the nation in the long term.
On government measures to cope with the consequences of the blockade, he said that Rs 53 billion in financial assistance in the form of free rations was provided to poor and migrant workers, and cash has been provided to poor women and people in age. More than 8 million poor households have received free cooking gas.
In addition, steps have been taken to provide assistance to farmers through an amendment to the Agricultural Products Market Committee (APMC) Act. Farmers will now have the right to sell their products on their own terms, he said.
On video: PM Modi shares the vision ‘Recovering growth’ during the IIC Annual Session 2020