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Indian economy will increase at the rate of 6.5% in the next financial year, this work will have to be done to increase growth – India tv hindi

by Aaryan Srivastav
March 30, 2025
Indian economy will increase at the rate of 6.5% in the next financial year, this work will have to be done to increase growth - India tv hindi

Photo: File GDP

Indian GDP will grow at a rate of 6.5 percent in the next financial year (2025-26). EY Economy Watch has estimated this. EY believes that Indian economy is a well -balanced fiscal strategy that supports human capital development by maintaining fiscal discretion, which will increase the possibilities of long -term growth. In the march version of EY Economy Watch, India’s actual GDP (GDP) growth rate is estimated to be 6.4 percent in FY 2024-25. The economic growth rate for the next financial year is estimated to be 6.5 percent. It states that fiscal policy needs to be merged for the country’s visit to developed India.

Government spending will have to increase

According to the revised National Accounts Account data released by the National Statistics Office (NSO) last month, the actual GDP growth rate from FY 2022-23 to 2024-25 is now estimated to be 7.6 percent, 9.2 percent and 6.5 percent respectively. With respect to the quarter growth rate for the current financial year 2024-25, the third quarter growth is estimated at 6.2 percent. This means that the NSO will require an increase of 7.6 percent in the fourth quarter to get an annual GDP increase of 6.5 percent. The report states that an increase of 7.6 percent in the final quarter will require a 9.9 percent increase in private final consumption expenditure. There has not been such a lot of increase in recent years. An alternative to this is to increase investment expenditure, in which capital expenditure growth towards the government can play an important role.

Budget will have to be increased on education and health

It states that according to the revised estimates, the government’s fiscal deficit may be affected by any supplementary demand for grant. The report states that with the growing population and developed economic structure, additional investment in education and healthcare may be necessary to maintain long -term growth and improve human capital results. According to the EY India report, in the next two decades, India will need to gradually increase its general government education and health expenditure, making it close to high-income countries.

Emphasis on increasing employment

Analysis shows that in view of India’s youth population and growing workforce requirements, the government may require to increase the expenditure on education from the current 4.6 percent to 6.5 percent of GDP by financial year 2047-48. To ensure better healthcare access and results, the health expenditure of the government will be increased from 1.1 percent to 2047-48 during this period to 3.8 percent.

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