The Economic Survey provides an overview of the economy and sets the tone for the Union Budget, which is released a day afterward. Today, Anantha Nageswaran, who was recently hired as Chief Economic Advisor, kicked off a conference on Economic Survey 2022. The conference’s theme is divided into four sections: (i) fiscal performance, (ii) financial sector, (iii) external sector, and (iv) inflation. Revenue collection and capital expenditure are both significantly higher than in previous years. Banks performed exceptionally well in terms of capital-to-risk (CRAR), indicating that they are well-capitalized.
After the United States and China, India has become the world’s third-largest startup ecosystem. During the pandemic, the balance of payments has remained healthy, and we have FOREX reserves of $634 billion. Although government consumption has been quite high, private consumption remains below pre-pandemic levels (mainly due to hitting faced by contact intensive sectors).