Broad-based growth strategy to drive India to $5 trillion: FM
Union Finance Minister Nirmala Sitharaman
The services sector is being strengthened through Digital Public Infrastructure, promotion of Global Capability Centres, Medical Value Travel, the Orange Economy and the artificial intelligence and digital ecosystem.
New Delhi: India is set to cross the $5-trillion economy mark in FY29, with the International Monetary Fund (IMF) projecting the country’s GDP at around $5.1 trillion by 2028-29, Finance Minister Nirmala Sitharaman said in the Rajya Sabha on Tuesday.
In a written reply, Sitharaman said the government has adopted a broad-based growth strategy centred on raising agricultural productivity, promoting manufacturing, supporting MSMEs, expanding infrastructure, improving logistics and easing the cost of doing business.
The strategy also focuses on tax reforms, innovation, digitalisation, human capital and energy security, along with sustained public capital expenditure, liberalisation of the FDI regime, export promotion and prudent fiscal management.
To strengthen manufacturing, initiatives such as the Production Linked Incentive scheme, Make in India, National Logistics Policy, National Single Window System and PM GatiShakti are aimed at increasing domestic production, attracting investment, creating jobs and improving competitiveness.
The government is also supporting MSMEs through enhanced credit guarantees, revised classification norms, a stronger Trade Receivables Discounting System ecosystem, simplified Udyam Registration, wider access to the Government e-Marketplace and the PM Vishwakarma scheme.
The services sector is being strengthened through Digital Public Infrastructure, promotion of Global Capability Centres, Medical Value Travel, the Orange Economy and the artificial intelligence and digital ecosystem.
Sitharaman said Budget 2026-27 has announced measures including a National Institute of Hospitality, Regional Medical Hubs, expansion of Allied Health Professional institutions, AVGC Content Creator Labs and support for university townships.
In agriculture, the focus is on irrigation, technology adoption, digital agriculture, crop diversification, post-harvest infrastructure and improved market access.
The government has also identified semiconductors, electronics, biopharmaceuticals, rare earths, chemicals, capital goods, clean energy and advanced manufacturing as strategic growth sectors. The PM-SETU scheme is aimed at strengthening industry-aligned skills for these emerging industries.
