Rs 11.2 Lakh Cr Annual Outlay To Yield 3.5-fold Multiplier Effect In Economy: Piyush Goyal

Bengaluru, Feb 13 (KNN) Commerce and Industry Minister Piyush Goyal has articulated a comprehensive economic vision for India, emphasising that the convergence of consumption-led and investment-led growth will serve as fundamental drivers of the nation's economic advancement. 

Speaking at the Invest Karnataka event in Bengaluru on Wednesday, Goyal presented a detailed analysis of how these complementary growth mechanisms can accelerate India's economic trajectory.

The Minister elaborated on the multiplicative effects of both consumption and investment strategies, noting that every Rs 1 lakh crore directed toward consumer spending generates a 2.5-fold increase in marketplace demand. 

Similarly, he highlighted that the government's infrastructure investment of Rs 11.2 lakh crore annually yields a 3.5-fold multiplier effect, creating substantial economic momentum. 

This strategic approach aligns with recent policy measures, including the Finance Minister's budget announcement eliminating taxes on income up to Rs 12 lakh under the new tax regime.

In addressing India's expanding global economic presence, Goyal reported significant progress in the export sector, with current export volumes reaching 3.5 times the levels observed five years ago. 

He announced forthcoming policy initiatives designed to enhance manufacturing capabilities in the toy and footwear sectors, positioning India to emerge as a global leader in these industries. 

The Minister also highlighted India's impressive track record in attracting foreign direct investment, noting that the country has secured approximately USD 700 billion in FDI over the past decade.

The Minister's economic outlook incorporated India's demographic advantages, which he projected would continue to benefit the nation over the next three decades, suggesting sustained potential for economic growth and development. 

This demographic dividend, combined with the dual growth strategy, presents a robust framework for India's economic future.

(KNN Bureau)