India is a 'class act' in economic resilience but must not get complacent, says NITI Aayog’s Suman Bery

NITI Aayog Vice Chairman Suman K Bery today said Indian economy has witnessed a “classic act” of economic resilience amid turbulent times, and added that India needs to up its game, without being complacent. Bery pointed out that labour productivity needs to be raised and said India needs to ensure that Viksit Bharat by 2047 is not reduced to a dead slogan.

Bery said India has maintained an average annual GDP growth rate of 6.5% for about thirty years since economic liberalization till Covid. “India has witnessed economic resilience till now. These are turbulent times, but India is a class act in economic resilience. India is the fastest growing major economy globally. India has maintained an average growth rate of 6.5% in 30 years from liberalisation to COVID,” Bery said during CII Annual Business Summit, 2025 in New Delhi.

“Roots of resilience are as much in our institutions as they are in our policies. We must not be complacent. We need to up our game. We need to ensure Viksit Bharat by 2047 is not reduced to a dead slogan. Viksit Bharat means a developed society made possible by high income economy,” Bery said.

Pointing out that labour productivity is a prerequisite for realising the "Viksit Bharat" dream, where each citizen is visibly empowered and where every Indian becomes an equity holder in the growth aspirations of the new and progressive India, as envisioned by our Hon’ble Prime Minister, Bery said labour productivity in India is not improving at the desired pace, in line with the rise in aspirations.

“While the size of the Indian economy is half that of the US in purchasing power parity terms, the size of the labour force is three times that of the US. The aim should be to leverage our labour force to take the economy to higher level of growth to generate better jobs. He mentioned that the problem of stagnation in productivity is faced by countries such as the UK and Canada. While productivity is rising in India, it is lower than in China and the ASEAN,” said Bery.

Bery said productivity trajectory can be carved out into two parts -- shift of population out of agriculture and secondly its transition to industry and services. “This would not only improve the productivity of agriculture but would also raise output in industry. This transition is slower in India and NITI Aayog is working on remedial actions,” he added.

Industrialisation is another challenge facing the country and policy lessons could be drawn from countries such as China, Japan and South Korea even though each country must work out its own path and productivity trajectory, Bery pointed out.

“India should adopt a blend of atmanirbharta and global engagement to stay competitive. We should focus more on India’s small and medium industries in line with countries like Germany,” he added. Bery mentioned that forging FTAs with trading partners, making forays in high value sectors and diversifying our sources of supply is crucial to stay ahead.