Salient points of press conference of BJP National Spokesperson Shri Gopal Krishna Agarwal

Salient Points of the Press Conference of BJP National Spokesperson Sh. Gopal Krishna Agarwal

 

India has become the engine of growth engine for the global economy Under Modi Govt

 

1. Very heartening to know that, Indian GDP is moving towards 5 trillion USD.

 

2. Not only Indian economy is doing good, it is the fastest growing major economy of the world for two consecutive years, and is poised to be the same for the coming year also

 

3. India has become the engine of growth for the global economy

 

4. Inflation - from double digit to less than 5 % to at 4.25 % retail inflation and food inflation at 2.91 %.

 

5. As per NSSO data Indian GDP growth rate is at 7.2% (despite global headwind) and Q4 GDP growth rate is 6.1% YOY, punctures hole in the narration of pent up demand.

 

6. GST collection April 2023 – Rupees 1.87 lakh crores for the April month, despite reduction in average net GST rate to 11.6 % as per RBI report.

 

7. Direct tax collection – Rupees 16.61 lakh crores, an increase of 17.63% over last year (Y’ 22-23) in spite of:

 

Corporate tax reduction

Higher exemption in personal tax

 

8. Purchase manager Index (PMI):

Manufacturing sector – 57.2

Services sector – 62 highest after 13 years. Both are in the expansionary mode

 

9.      IIP figure for April is 4.2, up from March 2023, shows robust growth in the manufacturing sector.

 

10. Infrastructure standing - CAPEX of government has increased to 3.3 % of GDP. Average share of CAPEX to total expenditure is 16.8%, this shows increase in the quality of expenditure of the Govt.

 

11. Major data points to robust economy

1.      FDI in year 21-22 is 84.8 billion USD

2.      Exports have crossed 770 billion USD in 2022-23

3.      3^rd largest Start up  ecosystem, 115 unicorns

4.      Highest digital payment Rupees 15,468 lakh crores value digital transactions

5.      1st rank in Fintech adoption

6.      Top mobile manufactures in the world

7.      Privatisation of PSE policy - Air India disinvestment

 

12. Predictions that GDP growth rate will come down going forwards. But figures show that Indian economy is headed in the right direction and there is considerable momentum.

 

13. Narrative of pent up demand is busted. Economist and some politician, who were giving doomsday predictions are consistently being proved wrong.

 

14. When we came to power in 2014, our economy was facing twin balance sheet problem, the banks were extremely weak and the corporate sector was highly leveraged and not in a position to service debts.

 

15. Due to several initiatives, the economy is deleveraged and the banking sector strong

Banking Sector reforms – NPA resolution, IBC, Capital infusion

 

Economy is deleveraged, can go for fresh investments from the private sector

 

16. Leadership and vision makes all the difference, able macroeconomic management by Modi government

 

17. Inflation under control, economy out of recession and fiscal consolidation smooth and predictable glide path

 

18. Vindication of successful economic management

Sri Lanka has defaulted

Bangladesh seeking help from IMF

Pakistan on verge of collapse

 

19. Govt has been working in a team spirit with the financial institutions particularly RBI and Ministry of Finance. The test of independence of an institution is not an adversarial relation with the govt but working together to make a strong economy.

 

20. The counter cyclical measures taken by the RBI and the ministry and staggered approach in the fiscal stimulus package- Aatma Nirbhar Bharat Package have helped the Indian economy to recover post COVID, and manage inflation, recession and fiscal deficit.

 

21. Formalisation of economy and policy reforms over the years of Modi govt – GST, E assessment, DBT, financial inclusion, IBC, PLI, Fintech, UPI, digital India, audit trail.

 

22. Future orientation of Budget – AI, Renewable energy, Block chain, green hydrogen, connectivity, cultural economy (Art, culture, music, dance, food, festival, architecture, tourism).

 

23.  Major achievement of Shri Narendra Modi has been management of Covid pandemic and economic recovery package thereafter. The pandemic has caused global disruption among major economies.  US the largest economy in the world is facing unprecedented inflation not seen for the last 40 years of its history. One country after another in Europe reeling under recession whether It’s UK, Germany, France etc.  And, even China has not come out of the shock it received from the forced lockdown during Covid19. India is an outlier, one of the fastest growing economy in the world, attracting highest FDI.

 

24.  Banks after banks in US and Europe are failing and are going for bankruptcy. There central banks do not seem to have the road map to deal with the situation. They lack institutional capability to oversee crisis. Contrast this the way our government and institution have dealt with the problem of pandemic.

 

25.  Due to visionary approach and concerted efforts of the government and the institutional resilience to meet the crises, all the three major macro-economic para meters Inflation, recession and fiscal deficit are in healthy domain.

 

26.  International institutions, Morgan Stanley report points towards healthy growth prospects for the Indian economy and Google Inc. E-Conomy  report says that internet economy of India will grow 5 times between 2023-30 and will contribute about 12-13% of GDP. Enablers like Aadhar, UPI, Digilocker, ONDC, Unified Health interface, India stack, Rupay and NPCI Network abroad etc. And software services is expected to be a big export growth area.  

 

27.  On this background I would like to state that the global interest in India is steaming from the realisation that in the coming decades the economic activity is moving toward India. India will be a major driver for global economy.  All this is because we have a determined and visionary leadership in Sh. Narendra Modi Ji