Nirmala Sitharaman Set To Present Economic Survey 2023-24: Key Highlights and Future Prospects for India’s Budget

News Mania Desk/Agnibeena Ghosh/22nd July 2024

Union Finance Minister Nirmala Sitharaman is set to present the Economic Survey 2023-24 at approximately 1 pm on Monday, a day prior to the Budget 2024-25 announcement. Following this, at 2:30 pm, Chief Economic Advisor (CEA) Dr. V Anantha Nageswaran will provide an in-depth analysis of the current state of the Indian economy during a press conference.

The Economic Survey is an annual document issued by the Government of India that precedes the national budget. Its primary purpose is to review the economic performance of the past year while also offering insights into short-to-medium-term economic prospects. This comprehensive review is crucial for understanding the financial health and direction of the country.

Divided into three main sections, the Economic Survey provides a detailed look at various facets of the economy. The first section includes an overview and the CEA’s perspective, offering insights into key economic issues and the government’s stance on the nation’s financial status. The second section presents sectoral data and figures provided by various departments and ministries, detailing performance across different sectors. The third section covers macroeconomic statistics, including national income, production, employment, inflation, trade balance, and export-import data, among other economic indicators.

Earlier this year, a mini economic survey was tabled, highlighting India’s aspiration to become a $7 trillion economy by 2030. CEA Nageswaran expressed optimism that, barring significant disruptions, the Indian economy could achieve over 7% growth in FY25, marking the fourth consecutive year of such robust growth following the COVID-19 pandemic.

However, the mini survey also outlined several challenges to India’s growth trajectory. It emphasized that the country’s economic outlook is influenced not only by domestic factors but also by global developments. Among the concerns raised was the impact of artificial intelligence (AI) on employment, particularly in the services sector. The report noted that AI could erode the cost competitiveness of countries that export digital services, presenting a significant challenge for the global workforce.

Additionally, the report highlighted geopolitical tensions and the Red Sea crisis as factors contributing to slower growth in global trade in 2023. These issues pose significant challenges for India’s export sector, necessitating strategic adjustments to maintain and expand market share. To counter these challenges, the mini economic survey underscored the importance of reducing logistics costs and investing in product quality to enhance competitiveness.

Looking ahead, the Economic Survey 2023-24 is expected to provide a more detailed analysis of these issues and propose measures to address them. The government’s strategies to navigate these challenges and leverage opportunities will be critical in shaping India’s economic future.

In summary, the Economic Survey 2023-24 serves as a vital document that reviews the past year’s economic performance and outlines the prospects for the coming years. With the Indian economy poised for significant growth, the survey’s insights and recommendations will be crucial for policymakers, businesses, and stakeholders as they plan for the future. As India aims to achieve its $7 trillion economy goal by 2030, addressing the outlined challenges and capitalizing on opportunities will be essential for sustained economic prosperity.