India Navigates Trade Turbulence Well, Eyes Faster Growth Says Economist Sanjeev Sanyal

Prime Minister’s Economic Advisory Council member and economist Sanjeev Sanyal on Friday stated that India’s economy is in good shape, but it can grow even faster with consistent investments in infrastructure, the forging of trade agreements, and improvements in the ease of doing business.

Speaking with ANI, Sanjeev Sanyal said, “So we are in good shape, but can we grow faster? Yes, but for that, we will need to first put in place things like free trade agreements. We will have to keep investing in our own infrastructure and ease of doing business, so it’s not like growth somehow naturally happens.”

Talking about the efforts for the country’s economic growth, Sanyal said that the efforts are being made to take advantage of even the uncertain times.

“It requires effort, and we are putting in that effort, and the idea is that as and when we settle into the new environment, we can take full advantage of this and grow at more than 7-8 per cent. I mean there’s no reason we shouldn’t aspire to grow at 8 per cent every year, but that requires that the external environment be such that we are able to do it,” Sanyal said.

On US trade tariffs, Sanyal said that India has been successful in navigating the turbulent trade situations as the country is signing pacts with new geographies.

“Old order is breaking down and there will be a period of turbulence, but as you have noticed, we have navigated this reasonably well, and we also will participate in the rulemaking of the new order. And we are taking proactive steps, as you may be aware. We are signing free trade agreements with a large number of countries. We already have some with countries like Japan, Australia, the UAE, the UK, and so on,” he said.

“We’re in advanced discussions with the European Union and the United States. So let me say that we are fully cognisant of the environment in which we are. Our purpose is to provide as much of a cushion to our domestic economy so that we can keep growing,” Sanyal added.

Earlier this May, Sanyal had said that India’s economic growth rate of 6 to 7 per cent is a result of many “process reforms” undertaken that are not part of the headlines.

India continues to be among the fastest-growing major economies and is expected to maintain this momentum over the coming years, according to global agencies.

Speaking in Bengaluru at a seminar titled ‘Reforms: Way To Vikasit Bharath’, Sanyal said, “process reforms are an important part of reforms.”

“These are not reforms that you hear about in the headlines or in newspapers; unless you happen to be from that little sector, you probably don’t know anything about it. And yet it is the accumulation of these hundreds of small reforms,” he had said.

(From ANI)

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