KOLKATA: Vaccination of at least half of the country’s population is key for the revival of the pandemic-hit economy, Rajiv Kumar, vice-chairman of government think tank NITI Aayog, said at a webinar organised by industry body MCCI. “We have the capability of vaccinating them in the next few months,” Kumar said.
According to Kumar, if the country can grow at 10-11% per year for the next few decades, the per capita income would be $16,000 by 2050. He said that to achieve the potential growth rate, India will have to fulfil five major conditions.
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First, India must raise its rate of investment from below 30% of GDP to 35-40% of GDP. Second, India must increase exports as a share of GDP. Third, share of manufacturing in GDP must increase. “For that, manufacturing cannot remain small scale and, instead, it must emerge to be globally competitive,” he said. In this regard, he mentioned that the government has allocated Rs 1.95 lakh crore to 13 sectors.
Fourth, India needs to modernise its agriculture. “Currently, our water usage is too high, yields are too low and stocks are so expensive that they cannot be sold. Given fragmented land holdings, industrial farming is not an option for India and therefore, the country should engage in organic farming,” Kumar said. Lastly, “the government will continue to remove regulatory hurdles for ease of doing business, and the private sector must demonstrate self-regulation to evolve as a responsible growth partner”.