NEW DELHI: India needs to sustain a GDP growth rate of 8 per cent to become a five trillion dollar economy by 2025, stated the Economic Survey on Thursday.
Such growth can only be sustained by the various cycle of savings, investment and exports, it said. Tabling the survey document in the Rajya Sabha, Finance Minister Nirmala Sitharaman said that global crude oil prices are expected to decline in the current financial year 2019-20.
#EcoSurvey2019: Economic policy uncertainty has decreased in India amidst its increase globally. For #Economy5trillion, economic policy uncertainty must be tracked as it affects investment. @FinMinIndia @PIB_India @nsitharamanoffc https://t.co/Ci9PZmDBVi— K V Subramanian (@SubramanianKri) July 4, 2019
But India's export prospects remain weak. However, the GDP growth rate for 2019-20 is likely to be 7 per cent on stable macroeconomic conditions. Sitharaman said accommodative monetary policy is required to help cut real lending rates as investment rate seems to have bottomed out.