Though India has been through ups and downs this year, its economic recovery from the Covid-19 pandemic is better than expected and economic indicators have shown encouraging signs, Prime Minister Narendra Modi said Saturday.
Compared to February when the pandemic started, things have changed in December, he said, adding, there is a road map to deal with this now.
“Even the economic indicators are encouraging,” he said addressing the annual convention of industry body FICCI (Federation of Indian Chambers of Commerce & Industry).
India, he said, has seen record Foreign Direct Investment and Foreign Portfolio Investment inflows during the pandemic.
India witnessed a V-shaped recovery in the July-September quarter when the contraction narrowed sharply to 7.5% from 23.9% in the April-June quarter.
The V-shaped economic recovery continued in October when industrial production and core sector growth inched up to pre-Covid levels.
Pointing out the old policies protected inefficiencies while ‘Aatmanirbhar Bharat Abhiyan’ is guided to promote efficiency in all sectors, he said the government has introduced a Production-Linked Incentive scheme to promote sunrise sectors and technology-based industries.
This scheme is for those industries which are on the path to make India a global champion and those who would perform would be entitled to an incentive, he added.
The government last month approved the scheme for 10 sectors including telecom, automobiles and pharmaceuticals, taking the total outlay for such incentives to nearly Rs 2 lakh crore over a five-year period.