The Indian economy would rebound in the future and the current slowdown was cyclical, Vice President M Venkaiah Naidu said at the 102nd annual conference of the Indian Economic Association here on Friday.
He said the economy was facing challenges due to the decline in growth this fiscal, and asked the gathering to be optimistic about a turnaround.
"It is
Naidu claimed the country had faced similar situations earlier in the wake of the East Asian financial crisis and global
Moves like
Naidu said over 66
The problem of non-performing assets (NPAs) in the banking sector was being tackled, he added.
The VP said waivers and subsidies provided to the agriculture sector was "unsustainable" in
Stressing on the Union government's resolve to double farm income by 2022, Naidu said the rural economy has to be made sustainable and remunerative.
He said agricultural produce must have access to larger markets, storage and supply chains, and in-situ food processing sector must be encouraged in villages.
Speaking on "fiscal federalism", which was one of the themes of the conference, Naidu said most states have managed to keep their fiscal deficit to around the permissible three per cent, but this had come at the cost of low capital expenditure.
"There has been a rise in committed liabilities towards payment of interest and pensions, thereby leaving only a small part of their (
He said
Chief Minister Bhupesh Baghel was present on the occasion.