Increased production will boost growth rate: Sinha

 The Dollar Business Bureau The Minister of State for Finance Jayant Sinha on Wednesday said that 7-8% of annual growth will definitely double the Indian economy in 10 years. Speaking at the 15^th Sustainable Development Summit in New Delhi, the Finance Minister for State further said that this trajectory of growth will also create huge employment opportunities, along with boosting the economy. The Minister further stressed upon the need for building productive capacity and the sustainable growth, as a process to witness the rising growth trajectory. In his earlier statements, the Minister had pitched for the structural reforms as a key to achieve a sustainable growth of 7-8 % and making India a $5 trillion economy in next 12 years. He had said, “If we take $2 trillion economy and get it on sustainable 7-8% annual growth, we can make the $ 2 trillion Indian economy become a $ 4-5 trillion economy in the next 10-12 years.” He had also said that there was a need to control inflation 4-6% over the years, making a case for supply-side revolution to increase its growth potential. In a statement in January 2015, he had also said that the Government of India is mulling to make Mumbai as the international financial hub. In a meeting with the Central Ministries, Sinha had also emphasized on the need for innovative product development in an ever expanding capital market.  The government on Friday revised the base year for computing national accounts, which resulted in the upward economic growth rate of 6.9% for 2013-14. The GDP estimate under the old method was 4.7%. The base year of national accounts was last revised in January 2010. As a result, the growth rate for 2012-13 has been changed to 5.1% under revised norms as against 4.5% estimated under the old values.  

This article was published on February 4, 2015.