India's economy is expected to grow between 6.3% and 6.8% in 2025-26, slightly higher than an estimated 6.4% this year.
The economy’s fundamentals remain strong with potential for increased investment, output, and disinflation in 2025-26, despite external challenges.
Private sector investment growth has been subdued due to domestic political factors, global uncertainties, and overcapacities, but this slowdown is expected to be temporary.
To achieve the goal of becoming a developed country by 2047, India needs 8% growth for at least a decade, and an increase in the investment rate from 31% of GDP to 35%.
As globalization slows down and geopolitical tensions rise, India needs to focus more on domestic economic drivers.
To boost growth, India needs policy reforms that focus on deregulation, reduced micromanagement, and building trust between the government and businesses.
India's demographic advantage can help accelerate growth, but it requires urgent action and avoiding a “business as usual” approach.
The government should allow businesses to focus on their core activities by significantly reducing regulations and focusing on risk-based policies.
The Survey emphasizes bridging the trust deficit between the government, businesses, and citizens to stimulate economic activity.
Achieving sustainable growth and development will require systemic changes, a focus on entrepreneurship, and removing unnecessary red tape.
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