The Economic Survey 2009-10 authored by Kaushik Basu, chief economic adviser, has reiterated that the recovery is for real.
There are some profound changes that have taken place in the Indian economy, which suggest that the fundamentals are strong. With savings and investment having reached levels that 10 years ago would have been dismissed as a pipedream, India is now a well-established member of the world’s fastest growing economies, says the survey.
The survey also points out that there have been few years in India’s economic history when the outlook at the start and the end of the year has been so different.
It suggests a number of reforms required to keep the momentum going. On the external front, it has recommended lowering tariff rates and weeding out unnecessary exemptions.
Besides, it has suggested increased foreign direct investment in health insurance, rural banking and higher education.
Mint’s analysis of the survey highlights the sector-wise outlook on reforms.
Graphic by Ahmed Raza Khan/Mint