Global Challenges Will Have Less Impact On Indian Economy: Finance Ministry

After recovering from the pandemic, the economy is on the path of rapid recovery. The rise in several indices including GST collection data, e-way bill, UPI transactions and so on are indications of this. In the monthly economic review on Thursday, the Finance Ministry said, incentive schemes related to dynamism and production will help in dealing with the impact of global challenges. Investment will be encouraged, due to which GDP will grow faster.

According to the Survey, the prospects of global growth are dimmed due to geopolitical conflicts, rapid rise in the prices of food items, fertilizers, crude oil. India may also be affected. However, it will depend on how long the energy and food markets remain bullish in the fiscal year. As well as how strong our economy is to mitigate the impact. These shocks will not affect the real growth, inflation. Growth is likely to be more inclusive going forward, driven by improved labor force participation, a fall in the unemployment rate and the government’s commitment to helping the poor.