Is Globalisation's Golden Era Coming to an End?

Chief Economic Adviser V Anantha Nageswaran expressed concerns over the end of globalisation's golden era amid geopolitical and policy challenges. India's economic growth is projected at 6.3-6.8% for the coming fiscal, falling short of the near 8% needed to achieve its developed nation status by 2047.

The golden era of globalization seems to be fading, Chief Economic Adviser V Anantha Nageswaran remarked on Friday, highlighting geopolitical and policy uncertainties impacting global economic dynamics. These uncertainties have resulted in a slowdown in economic growth.

According to the pre-Budget Economic Survey, India's economy is expected to grow at a rate of 6.3-6.8% in the upcoming fiscal year. This figure is notably lower than the rate required for the country to attain developed nation status. This shortfall emphasizes the need for reforms in areas such as land and labor to catalyze growth.

Presenting the state of the economy in Parliament, Finance Minister Nirmala Sitharaman noted that India's once world-leading growth has tempered, requiring substantial policy efforts to achieve the annual growth rate needed to meet the 'Viksit Bharat' target by 2047. With the projected growth aligning closely to the post-pandemic era's weakest figures, the slowdown is largely attributed to external factors.

(With inputs from agencies.)