Sitharaman tables Economic Survey; FY22 GDP growth pegged at 11%
What's the story
Union Finance Minister Nirmala Sitharaman on Friday tabled the Economic Survey 2021 in the Parliament. The document, drafted by Chief Economic Advisor Krishnamurthy Venkata Subramanian, provides an insight into how the economy has progressed in the last 12 months. India's economy contracted by 7.7% in the current financial year (2020-2021), which ends on March 31, the survey said. Here are more details.
Details
Sitharaman tables survey in Lok Sabha; House adjourned
Sitharaman tabled the Economic Survey in the Lok Sabha, the lower house of the Parliament. The Lok Sabha has now been adjourned till Monday (February 1), when the Union Budget 2021-2022 will be presented. The survey has pegged the Gross Domestic Product (GDP) growth for the next fiscal at 11.5% while estimating a 7.7% contraction for the current fiscal.
Economic recovery
'V-shaped' economic recovery predicted for India
The survey has predicted a "V-shaped" recovery for India's economy, which has been battered by the COVID-19 pandemic and the lockdown imposed to stem the spread of the virus. The survey cites India's massive COVID-19 vaccination drive—which commenced on January 16—as it has raised hopes for the full resumption of economic activities. Although India has emerged from the lockdown, certain restrictions remain enforced.
Information
In April-June quarter, GDP contracted by record 23.9%
India had entered its COVID-19 lockdown on March 25, 2020. In the April-June quarter, the GDP had contracted by a record 23.9%. In the July-September quarter, the economy had contracted by 7.5%. Subramanian will shortly present the details of the Economic Survey at a presser.
Recent news
President addressed both Houses of Parliament earlier today
Earlier in the day, President Ram Nath Kovind addressed both Houses of Parliament, kicking off the Budget Session. The President had praised India's handling of the pandemic and the nationwide vaccination drive. He also criticized the recent violence during protests against new agricultural laws, which he said benefited 10 crore small farmers. At least 17 Opposition parties notably decided to boycott the President's address.