India has high growth potential for next two decades: Jaitley
has the potential to grow at a reasonably high level in the next decade or two, owing to some structural changes by the government and a turnaround in the global economy, finance minister Arun Jaitley said on Saturday.
The whole environment of doing business has changed in a matter of months, Jaitley told a Washington audience at an event organised by the US-India strategic and partnership forum.
“India has the potential to grow at a reasonably high level in the next one-two decades. This is mainly because of the series of structural reforms being carried out by the government, turnaround in the global economy, and the massive investment opportunity that the infrastructure sector offers,” said Jaitley.
“I am certain that now that the growth is returning to the world, the future holds an important direction as far as India is concerned. The sheer size of the country and economy would offer huge opportunity for investment in India in the next few years,” he said.
Jaitley said that when the BJP government came to power in 2014, it had the choice to look the other way and allow the shadow economy to continue. “But it did not do so, as it took a series of courageous steps which ultimately culminated in demonetisation of high- value currency,” the finance minister said.
The government knew there would be short-term impact on the economy, he said, “but, in the long term, it would benefit the country,” he told a gathering of investors and corporate leaders.
Pitching India as an investorfriendly destination, the minister said his government has taken a series of steps to improve the ease of doing business. “India today is one of the most open, globally integrated economies.
Speaking about the Goods and Services Tax (GST), Jaitley said it was “a more efficient system which has brought the country together, even economically, allowed free flow of goods and services across the country.”
However, he conceded, that it could cause disruption for a quarter or two.
The event closed a week of meetings that the minister attended in the US, including the annual meetings of the International Monetary Fund and the World Bank.
Members of the USISPF audience included representatives from companies such as Apple, Boeing, Google, etc. while senior officials from different departments of the US government also participated in the programme.
WASHINGTON:India