‘India’s GDP will definitely improve soon’

Business Bureau ;

The expenditure, investments and efforts of multiplication of income by the Govt will result in an increase in the national GDP

“GLOBAL pandemic of corona has hit the world economy hard. India’s gross domestic product (GDP) has reached a four-decade low but if we remain positive for times to come, then our GDP will improve soon,” said CA Milind Kanade, BJP spokesperson and Chairman of the Economic Cell. He stressed on continuing optimistic approach that is taken up by almost all while facing this crisis. Kanade said, “India’s GDP growth rate in the June 2020 quarter -24.4 per cent increased to +1.6 per cent in the March 2021 quarter. The growth rate of -7.5 per cent for the financial year 2020-21 had already been projected at the national level.

Therefore, the growth rate of -7.3 cannot be considered as a shock.” The cycle of ups and downs continues in the capitalist economy. Therefore, it would not be right to blame Modi led Government for the recession. He expressed confidence that both Reserve Bank and Central Government would work together to overcome the recession by making proper use of open market, selected credit control, monetary policy and fiscal policy. The three sectors of the Indian economy are agriculture, services and goods. Currently, only consumer goods are being used. Production of capital goods is stagnant. Production of capital goods will start under ‘Mission Begin’. It will boost more use of consumer goods and create employment, said Kanade.

“Corona outbreaks have shaken many economies around the world. The fact that the Indian economy is interconnected with many other economies in the world has naturally put a strain on our economy,” he said. “The restrictions disrupted production, constrained sales and hindered services. But, India already has established manufacturing capabilities and service providers are able to provide services. As a result, demand will increase as the lockdown relaxes and adequate supply will be coordinated,” he added. Kanade said that the expenditure, investments and efforts of multiplication of income by the Government will result in an increase in the national GDP.