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31 Jan 2023

Economic Survey 2023: Nirmala Sitharaman Presents Economic Survey in Parliament; GDP Projected to be 6.5% for 23-24, Slowest Growth In 3 Years; Key Highlights

New Delhi: Finance Minister Nirmala Sitharaman presented the Economic Survey 2023 in the Parliament during the budget session on Tuesday. The survey has estimated the GDP growth rate for the financial year 2023-24 to be 6.5%. 

This will be the slowest growth in the last 3 years. Whereas the nominal GDP has been estimated at 11%. Real GDP estimate for FY23 is 7%.

The survey states that India will continue to be the fastest growing major economy in the world. According to the survey, India is the third largest economy in the world in terms of PPP (Purchasing Power Parity) and fifth largest in terms of exchange rate.

After releasing the survey, now the Chief Economic Advisor and other senior officials will hold a press conference. The survey includes India's gross domestic product (GDP) estimates, inflation estimates, foreign exchange reserves and trade deficit. 

The folowing are the key highlights of the survey:

State of the Economy

·         Indian economy estimated to grow by 9.2 percent in real terms in 2021-22 (as per first advanced estimates) subsequent to a contraction of 7.3 percent in 2020-21. 

·         GDP projected to grow by 8- 8.5 percent in real terms in 2022-23.  

·         The year ahead poised for a pickup in private sector investment with the financial system in good position to provide support for economy’s revival. 

·         Projection comparable with World Bank and Asian Development Bank’s latest forecasts of real GDP growth of 8.7 percent and 7.5 percent respectively for 2022-23.

·         Agriculture and allied sectors expected to grow by 3.9 percent; industry by 11.8 percent and services sector by 8.2 percent in 2021-22.

Fiscal Developments

·         The revenue receipts from the Central Government (April to November, 2021) have gone up by 67.2 percent (YoY) as against an expected growth of 9.6 percent in the 2021-22 Budget Estimates (over 2020-21 Provisional Actuals).

·         Gross Tax Revenue registers a growth of over 50 percent during April to November, 2021 in YoY terms.  This performance is strong compared to pre-pandemic levels of 2019-2020 also. 

External Sectors

·         India’s merchandise exports and imports rebounded strongly and surpassed pre-Covid levels during the current financial year.

·         There was significant pickup in net services with both receipts and payments crossing the pre-pandemic levels, despite weak tourism revenues.

·         Net capital flows were higher at US$ 65.6 billion in the first half of 2021-22, on account of continued inflow of foreign investment, revival in net external commercial borrowings, higher banking capital and additional special drawing rights (SDR) allocation.


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