10% nominal GDP growth needed for Viksit Bharat goal: CEA

Chief Economic Adviser (CEA) V Anantha Nageswaran today said an annual growth rate of 10% in nominal terms is required to realise the Viksit Bharat (Developed India) goal by 2047. The Economic Survey 2024-25, tabled in Parliament today, pegs FY26 GDP growth rate in the range of 6.3%-6.8%.

"Growth rate for Viksit Bharat, in respect of the nominal GDP in dollar terms, that is required is around 10%," CEA said during a briefing on the Economic Survey.

"I think it is not something which will be achieved year after year. There will be years when we will achieve more than that and there will be years when we will achieve lower than that depending on the global scenarios," Nageswaran said.

"So, it is not something that is a mechanical number which gets applied exactly identically year after year. Global conditions will influence it in some years positively, and in some years negatively. We have to be prepared to take advantage of it in those conducive years while maintaining a certain minimum level of growth in those years when conditions are not favourable," CEA said.

CEA also said that even though the Economic Survey does not model the impact of crude oil prices on the economy, the government is not expecting major upside risks on crude oil prices. On the rupee, he said recent liquidity and forex measures by the central bank are steps in the right direction.

CEA said the growth projections in the survey have factored in the emerging situation on the tariff front while also cautioning that there is no need to speculate on the back of one nation's tariff policy. "Government responding to emerging situation on tariff policy front," Nageswaran said.