11,585.15-93.35
Stock Analysis, IPO, Mutual Funds, Bonds & More

Economy will turnaround, give govt more time: Arvind Panagariya

“Turnaround is certainly there but it is just 10 months old. Give more time because lot of indicators is improving,” Panagariya said.

, ET Bureau|
Last Updated: Apr 07, 2015, 04.15 PM IST
0Comments
“Turnaround is certainly there but it is just 10 months old. Give more time because lot of indicators is improving,” Panagariya said.
“Turnaround is certainly there but it is just 10 months old. Give more time because lot of indicators is improving,” Panagariya said.
NEW DELHI: Brushing aside the perception that not much has changed under the BJP-led NDA government, NITI Aayog vice chairman Arvind Panagariya said that the turnaround in the economy is certainly there with both inflation and the current account deficit down, fiscal deficit under control and economy registering a growth of 7.4% last year.

“Turnaround is certainly there but it is just 10 months old. Give more time because lot of indicators is improving,” Panagariya said at the annual session of the Confederation of Indian Industry.

Admitting that there are huge expectations from the new government that had come in with lot of promises, Panagariya said that the reforms of NDA-I government had led to a high growth for a decade.

Contrary to the view of the chief economic advisor Arvind Subramanian, Panagariya actually supported the new methodology for computing GDP numbers.

“Source of data is far more reliable now than earlier when there was a lot of extrapolation. It’s a change for better and an improvement over past practices,” he said.

Commenting on the role of the National Institution for Transforming India or NITI Aayog, Pangariya said that the institution could be termed as successful if it caters to all the problems of the states.

“In 3-5 years if we can create a culture wherein states can confidently approach NITI for their problem and we are able to give them a road map for the best solution to a particular problem, I think we will call it a success,” he said.

Speaking on the role of an economist in bringing out a new policy, Panagariya said that populism wins and any new policy has to be advocated to change the mindset.

“Firm optimism is needed to persist and advocate policy changes,” he said.

The Narendra Modi government is reaching out to all stakeholders to change their perception over the amendments made by this government to the Land Acquisition Act 2013 that has led to widespread opposition from political parties, farmers and even social activists.

While praising the labour reforms of the Rajasthan government, Panagariya urged the industry to invest in labour intensive sectors without being wary of the trade unions. “Unions are an integral part of the democratic set-up and there is no getting away from them,” he concluded.

Also Read

2012-13, 2013-14 slowdowns were a lot worse than the present one: Arvind Panagariya

India should ease law on firing workers, says Arvind Panagariya

Arvind Panagariya pitches for trade pact in services with US

The caravan of reforms keeps moving in full pace: Arvind Panagariya

Export-led growth very critical for good jobs in India: Arvind Panagariya

Comments
Add Your Comments
Commenting feature is disabled in your country/region.

Other useful Links


Copyright © 2020 Bennett, Coleman & Co. Ltd. All rights reserved. For reprint rights: Times Syndication Service