Budget 2019: India to become $3 trillion economy in FY20, says FM Nirmala Sitharaman

In her first Union Budget speech which was for fiscal FY20, the Finance Minister Nirmala Sitharaman said that India will become a $3 trillion economy in this year itself. She said, India is now the sixth largest in the world. 5 years ago it was at the 11th position. 

She said, "It took us over 55 years to reach $1 trillion dollar economy. But when the hearts are filled with hope, trust & aspiration, we in just 5 years, added $1 trillion."

Highlighting in Parliament, Sitharaman said, "he first term of PM Narendra Modi led NDA govt stood out as a performing govt. Between 2014-2019 he provided a rejuvenated centre-state dynamics, cooperative federalism, GST council and strident commitment to fiscal discipline."

During the Economic Survey, the Finance Ministry led by Sitharaman on Thursday had stated that, its theme is about enabling a “shifting of gears”, “to achieve the objective of becoming USD 5 trillion economy by 2024-25, as laid down by the Prime Minister”.

It added, “India needs to sustain a real GDP growth rate of 8%”. The Survey says that it departs from “traditional thinking by advocating a growth model for India that views economy as  being either in a virtuous or a vicious cycle, and thus never in equilibrium”.   

The survey said, "Further the survey said that it, "makes the case for investment, especially private investment as key driver, that drives demand, creates capacity, increases labour productivity, introduces new technology and generate jobs”.  

While the survey also suggests saying, "Exports must form an integral part of the growth model because higher savings preclude domestic consumption as the driver of final demand.”