The Misperception of Digitisation as Deregulation: An Insight from India's Chief Economic Advisor

Chief Economic Advisor V Anantha Nageswaran comments on the misunderstanding of digitisation as deregulation in India. He emphasizes the need to remove unnecessary regulations and the importance of small businesses in GDP growth. Nageswaran also discusses inflation, energy security, and India's growth potential.

At a recent event, Chief Economic Advisor V Anantha Nageswaran clarified a common misunderstanding within the administration: confusing digitisation with deregulation. This confusion, he noted, suggests that simply moving processes online equates to eliminating regulations, which is a misperception needing correction.

Highlighting the need to remove redundant regulations, Nageswaran stressed the importance of supporting small businesses to ensure they do not waste valuable resources on compliance. He said India's growth must rely heavily on its domestic economy, amidst shifting global trends and expected sluggish benefits from globalisation.

Nageswaran also pointed out that energy security remains crucial during the green transition, advocating for a balanced approach. He mentioned that India could maintain a 6.5-7% growth rate, benefiting from a favorable demographic trend for the next two decades.