Modi government presents white paper on Indian economy

Finance Minister Nirmala Sitharaman on Thursday presented a white paper on India's economy highlighting the achievements of the BJP-led NDA government in the past decade since it came to power.

When the government took power in 2014, it recognized the urgent need to innovate and overhaul systems and processes to move India forward on the path of development while strengthening its macroeconomic fundamentals, the paper said.

Here are the key claims in the NDA government's white paper:

  • Then: When the NDA government took over the reins in 2014, the economy was in poor shape. India was one of the “fragile five” economies.

  • Now: The government has repaired the economy and restored its fundamentals to a healthy state. The country is one of the “top five” economies and makes the third highest contribution to global growth each year.

  • Then: The government granted gold import licenses to a select few.

  • Now: They have set up a precious metals exchange in GIFT IFSC with a transparent import mechanism.

  • Then: The economy faced a “twin balance sheet problem.”

  • Now: The economy has a “double balance sheet advantage” for both companies and the banking sector, with sufficient capacity to stimulate investment and credit and create jobs.

  • Then: The economy experienced double-digit inflation.

  • Now: Inflation was reduced to just over 5%.

  • Then: We had a foreign exchange crisis.

  • Now: We have record foreign exchange reserves of over $620 billion.

  • Then: We had “political paralysis”; Infrastructure was not a priority.

  • Now: The wheels of the virtuous cycle of “investment, growth, employment, entrepreneurship and savings” that leads to increased investment and productivity are in motion.

  • Then: Reporting on development programs was sporadic.

  • Now: We have “saturation coverage” to provide the basic needs of all, with measured, targeted and inclusive support for those in need and empowering everyone to pursue their goals.

“The Amrit Kaal has just begun and our aim is to make India a developed nation by 2047,” the paper said. Finance Minister Nirmala Sitharaman is expected to discuss the paper on Friday.