India to definitively return to economic growth, says Prime Minister Modi, who presents Atma-nirbhar Bharat’s vision

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New Delhi, June 2 (PTI) One day after Moody’s downgraded India’s credit rating above that of growth junk, Prime Minister Narendra Modi said on Tuesday that the country would definitively recover its economic growth and the reforms undertaken during the foreclosure will help the economy in the long run.

Committing to undertake more structural reforms that will change the course of the country, he refined his vision of an Atma-nirbhar Bharat or an autonomous India – which does not depend on any other country in strategic sectors and which embraces the world on its own strength.

Speaking at the annual session of the ICN, he called on India Inc. to rise to the challenge and partner in rural India during these testing times.

“On the one hand, we have taken difficult measures to fight the virus and on the other, we have taken care of the economy,” he said, adding: “We must save the lives of citizens while stabilizing the economy and accelerating growth. ” ”

As the government ends the world’s largest foreclosure, Indian industry has started to talk about “recovering growth”.

“I will go beyond the return of growth to say Yes! We will certainly regain our growth,” he said, expressing his confidence in Indian farmers, small businesses and entrepreneurs for helping to achieve this. .

His comments came a day after Moody’s investor service downgraded India to the lowest investment level on Monday and kept it on negative watch, largely because the country faces an extended period slower growth compared to its potential and the increase in the level of debt.

He joined S&P Global Ratings and Fitch Ratings to predict the first contraction in GDP in more than four decades and an eruption of a budget deficit as the coronavirus pandemic spreads.

India was already in the midst of a prolonged economic downturn before the virus hit due to a growing crisis among shellfish lenders and declining consumer demand and private investment. Its GDP increased by 4.2% in 2019-2020, the slowest pace in 11 years.

Prime Minister Modi has said that India will bring the coronavirus pandemic under control and get back on track with decisive government policies.

“We will definitely regain our growth. India will regain its growth,” he said.

After more than two months of the most extensive lockout in the world, the country has entered “Unlock Phase 1”. Much of the economy has been opened and others will open after June 8.

Modi said the government will stand alongside industries in their efforts to help India move towards self-sufficiency.

“The world is looking for a trusted and reliable partner and India has the potential, the strength and the capacity. Today all of you, including all industries, must have the trust that comes is developed for India all over the world, “he said. “If you take two steps, the government will be four steps ahead to support you. As Prime Minister, I assure you that I will be by your side.”

Addressing the meeting via videoconference, he presented his vision of Atma-nirbhar Bharat, a vision less dependent on imports and manufacturing products for the world.

“It’s about building a solid business in India. Companies that can become global strengths. It’s about creating jobs, empowering people to create solutions. It’s about building chains strong and local supply chains that can strengthen global supply chains. We have to do this in India for the world, “he added.

Calling to minimize non-essential imports, Modi said the industry should set targets for each sector in order to increase productivity.

“Priority sectors such as furniture, air conditioners, shoes, leather have been identified. We import more than 30 percent of our air conditioners. Despite being a major producer of leather, our global share of exports is minimal . We are trying to reduce imports of cell phones and defense items, “he said.

India must now invest in the creation of a strong local supply chain that strengthens India’s participation in the global supply chain.

The Prime Minister said that India was moving towards a growth-oriented future. “For us, reforms are not a random or scattered decision. It is a systematic, planned, integrated and interconnected futuristic process. For us, reform dares to take decisions and lead them to logical conclusions.”

During the lockout, the government opened up non-strategic sectors to the private sector. It liberated the coal sector by allowing commercial mining and allowed the private sector to invest in sectors like space and atomic energy. In addition, long overdue labor reforms are underway.

To get back on track for growth, the country needs to focus on 5 Is – intent, inclusion, investment, infrastructure and innovation, he said, adding that recent bold decisions reflect this.

“Recovering growth is not that difficult and the path to it is Atma-nirbhar bharat”, he said and added that “it is necessary to create products made in India and made for the world” .

Stating that strengthening the economy is among the government’s top priorities, he said the decisions made since March will help the nation in the long run.

Regarding measures taken by the government to deal with the fallout from the lockout, he said that financial assistance of 53,000 crore rupees in the form of free rations to poor and migrant workers, and cash to poor women and the elderly had been provided. More than 8 crore poor households received free cooking gas.

In addition, measures have been taken to relieve farmers through an amendment to the Agricultural Products Committee Committee (APMC) law. Farmers will now have the right to sell their produce on their own terms, he said. PTI RSN ANZ ANZ DRR
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Warning :- This story has not been edited by Outlook staff and is automatically generated from news agency feeds. Source: PTI

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