Here’s What Different Industry Bodies Think of Economic Survey

Finance Minister on Tuesday tabled the economic survey for financial year 2022-23. Understanding the same, Saket Dalmia, President of PHD Chamber of Commerce and Industry, congratulated the government on a quick economic recovery from Pandemic and achieving the Pre-Pandemic economic level in the Current Financial Year 2022-23.

He said that economic growth drivers such as strong demand, private investment, and capital expansion are performing well above pre-pandemic levels and it is quite overwhelming to see the that CAPEX of the Central Government has increased more than 60 per cent the first eight month of Financial Year 2023.

This year’s economics survey revealed that the credit growth to the MSME sector has been remarkably high, over 30.5 per cent, on average, during Jan-Nov 2022, supported by the extended ECLGS of the central government. The Year-on-Year growth in credit since the January-March quarter of 2022 has moved into double-digits and is rising across most sectors.

Saket commented on the same saying, “The credit growth of the MSME`s at more than 30 per cent  is also appreciable and we look forward for the expansion of Emergency Credit Line Guarantee Scheme (ECLGS) for another one year till 31st March 2024.

The survey also mentioned that Investment of INR 47,500 crores under the PLI schemes in FY22 was 106 percent of the designated target for that year.

Commenting on the same Manish Chowdhury, Head of research at Stoxbox said “We believe that many structural factors like PLIs, FTAs, alternate technologies/fuels, domestic demand, and healthy balance sheets of consumers, corporates and banks are likely to propel economic growth higher in the long term.”

Head of research at Reliance Securities, Mitul Shah said that this survey shows a positive market as upgrade in FY23 GDP growth expectation of 7 per cent augurs well, while FY24 Inflation of below 6 per cent within RBI’s targeted range provides major relief.