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Economic
Survey 2022-23
Government of India
Ministry of Finance
Department of Economic Affairs
Economic Division
North Block
New Delhi-110001
January, 2023
Page 2


Economic
Survey 2022-23
Government of India
Ministry of Finance
Department of Economic Affairs
Economic Division
North Block
New Delhi-110001
January, 2023
Page 3


Economic
Survey 2022-23
Government of India
Ministry of Finance
Department of Economic Affairs
Economic Division
North Block
New Delhi-110001
January, 2023
CONTENTS
  
 vii Preface
 xi Acknowledgment
 xiii Abbreviations
 xxxi List of Tables
 xxxiii List of charts
 xli List of boxes
Chapter No. Page No. Name of the Chapter
1   State of the Economy 2022-23: Recovery Complete
 03 The Global Economy Battles Through a Unique Set of Challenges
 09 Macroeconomic and Growth Challenges in the Indian Economy
 12 India’s Economic Resilience and Growth Drivers
 19 India’s Inclusive Growth
 21 Outlook: 2023-24
2  India’s Medium-term Growth Outlook: With Optimism and Hope
 24 Introduction
 25 Product and Capital Market Reforms
 28 Reforms for New India- Sabka Saath Sabka Vikaas
 36 Returns to the Economic and Structural Reforms after 2014
 39 Growth Magnets in this Decade (2023-2030)
3  Fiscal Developments: Revenue Relish
 42 Introduction
 42 Developments in Union Government Finances
 54 Overview of State Government Finances
	 61	 Debt	Profile	of	the	Government
 67 Conclusion
4  Monetary Management and Financial Intermediation: A Good Year
 79 Monetary Developments
 82 Liquidity Conditions
 83 Monetary Policy Transmission
 84 Developments in the G-sec Market
 85 Banking Sector
 88 Credit Growth Aided by a Sound Banking System and Deleveraged Corporate 
Sector
 89 Non-Banking Financial Companies Continue to Recover
 91 Progress Made Under the Insolvency and Bankruptcy Code
 94 Development in Capital Markets
 102 Other Developments
 106 IFSC-GIFT City
Page 4


Economic
Survey 2022-23
Government of India
Ministry of Finance
Department of Economic Affairs
Economic Division
North Block
New Delhi-110001
January, 2023
CONTENTS
  
 vii Preface
 xi Acknowledgment
 xiii Abbreviations
 xxxi List of Tables
 xxxiii List of charts
 xli List of boxes
Chapter No. Page No. Name of the Chapter
1   State of the Economy 2022-23: Recovery Complete
 03 The Global Economy Battles Through a Unique Set of Challenges
 09 Macroeconomic and Growth Challenges in the Indian Economy
 12 India’s Economic Resilience and Growth Drivers
 19 India’s Inclusive Growth
 21 Outlook: 2023-24
2  India’s Medium-term Growth Outlook: With Optimism and Hope
 24 Introduction
 25 Product and Capital Market Reforms
 28 Reforms for New India- Sabka Saath Sabka Vikaas
 36 Returns to the Economic and Structural Reforms after 2014
 39 Growth Magnets in this Decade (2023-2030)
3  Fiscal Developments: Revenue Relish
 42 Introduction
 42 Developments in Union Government Finances
 54 Overview of State Government Finances
	 61	 Debt	Profile	of	the	Government
 67 Conclusion
4  Monetary Management and Financial Intermediation: A Good Year
 79 Monetary Developments
 82 Liquidity Conditions
 83 Monetary Policy Transmission
 84 Developments in the G-sec Market
 85 Banking Sector
 88 Credit Growth Aided by a Sound Banking System and Deleveraged Corporate 
Sector
 89 Non-Banking Financial Companies Continue to Recover
 91 Progress Made Under the Insolvency and Bankruptcy Code
 94 Development in Capital Markets
 102 Other Developments
 106 IFSC-GIFT City
 109 Developments in the Insurance Market
 113 Pension Sector
 116 Outlook
5	 	 Prices	and	Inflation:	Successful	 T ight-Rope	 W alking
 118 Introduction
	 120	 Domestic	Retail	Inflation
	 129	 Domestic	 Wholesale	Price	Inflation
	 133	 Fuel	Price	Inflation:	Declining	Global	Crude	Oil	Prices
	 134	 Conver gence	of	 WPI	and	CPI	Inflation
	 137	 Falling	Inflationary	Expectation	
 138 Monetary Policy Measures for Price Stability
 139 Housing Prices: Recovering Housing Market after the Pandemic
 142 Keeping Check on Pharmaceutical Prices
 142 Conclusion
6  Social Infrastructure and Employment: Big Tent 
 146 Introduction
	 147	 Social	Sector	Expenditure	Keeping	Pace	with	Growing	Importance	of	the	Sector
 149 Improving Human Development Parameters
 151 Transformation of Aspirational Districts Programme
 153 Progressing Labour Reform Measures
 155 Aadhaar: The Many Achievements of the Unique Identity
 157 Improving Employment Trends
 174 Ensuring Quality Education for all
 182 Equipping the Workforce with Employable Skills and Knowledge in Mission Mode
	 185	 Quality	and	 Affordable	Health	for	all
 199 Social Protection for the Rainy Day
 200 Development of India’s Aspiring Rural Economy
	 212	 Direct	Benefit	 T ransfer:	a	Game	Changer
 213 Enhancing Rural Governance for Inclusive Growth
 215 Conclusion and Way Forward
7  Climate Change and Environment: Preparing to Face the Future
 217 Introduction
 221 Progress on India’s Climate Action
 231 Finance for Sustainable Development
 234 Major Decisions at COP 27
 235 India’s Initiatives at the International Stage
 236 Initiatives Related to other Environmental Issues
 242 Conclusion
8  Agriculture & Food Management: From Food Security to Nutritional Security
 243 Introduction 
 245 Record Production of Foodgrains
Page 5


Economic
Survey 2022-23
Government of India
Ministry of Finance
Department of Economic Affairs
Economic Division
North Block
New Delhi-110001
January, 2023
CONTENTS
  
 vii Preface
 xi Acknowledgment
 xiii Abbreviations
 xxxi List of Tables
 xxxiii List of charts
 xli List of boxes
Chapter No. Page No. Name of the Chapter
1   State of the Economy 2022-23: Recovery Complete
 03 The Global Economy Battles Through a Unique Set of Challenges
 09 Macroeconomic and Growth Challenges in the Indian Economy
 12 India’s Economic Resilience and Growth Drivers
 19 India’s Inclusive Growth
 21 Outlook: 2023-24
2  India’s Medium-term Growth Outlook: With Optimism and Hope
 24 Introduction
 25 Product and Capital Market Reforms
 28 Reforms for New India- Sabka Saath Sabka Vikaas
 36 Returns to the Economic and Structural Reforms after 2014
 39 Growth Magnets in this Decade (2023-2030)
3  Fiscal Developments: Revenue Relish
 42 Introduction
 42 Developments in Union Government Finances
 54 Overview of State Government Finances
	 61	 Debt	Profile	of	the	Government
 67 Conclusion
4  Monetary Management and Financial Intermediation: A Good Year
 79 Monetary Developments
 82 Liquidity Conditions
 83 Monetary Policy Transmission
 84 Developments in the G-sec Market
 85 Banking Sector
 88 Credit Growth Aided by a Sound Banking System and Deleveraged Corporate 
Sector
 89 Non-Banking Financial Companies Continue to Recover
 91 Progress Made Under the Insolvency and Bankruptcy Code
 94 Development in Capital Markets
 102 Other Developments
 106 IFSC-GIFT City
 109 Developments in the Insurance Market
 113 Pension Sector
 116 Outlook
5	 	 Prices	and	Inflation:	Successful	 T ight-Rope	 W alking
 118 Introduction
	 120	 Domestic	Retail	Inflation
	 129	 Domestic	 Wholesale	Price	Inflation
	 133	 Fuel	Price	Inflation:	Declining	Global	Crude	Oil	Prices
	 134	 Conver gence	of	 WPI	and	CPI	Inflation
	 137	 Falling	Inflationary	Expectation	
 138 Monetary Policy Measures for Price Stability
 139 Housing Prices: Recovering Housing Market after the Pandemic
 142 Keeping Check on Pharmaceutical Prices
 142 Conclusion
6  Social Infrastructure and Employment: Big Tent 
 146 Introduction
	 147	 Social	Sector	Expenditure	Keeping	Pace	with	Growing	Importance	of	the	Sector
 149 Improving Human Development Parameters
 151 Transformation of Aspirational Districts Programme
 153 Progressing Labour Reform Measures
 155 Aadhaar: The Many Achievements of the Unique Identity
 157 Improving Employment Trends
 174 Ensuring Quality Education for all
 182 Equipping the Workforce with Employable Skills and Knowledge in Mission Mode
	 185	 Quality	and	 Affordable	Health	for	all
 199 Social Protection for the Rainy Day
 200 Development of India’s Aspiring Rural Economy
	 212	 Direct	Benefit	 T ransfer:	a	Game	Changer
 213 Enhancing Rural Governance for Inclusive Growth
 215 Conclusion and Way Forward
7  Climate Change and Environment: Preparing to Face the Future
 217 Introduction
 221 Progress on India’s Climate Action
 231 Finance for Sustainable Development
 234 Major Decisions at COP 27
 235 India’s Initiatives at the International Stage
 236 Initiatives Related to other Environmental Issues
 242 Conclusion
8  Agriculture & Food Management: From Food Security to Nutritional Security
 243 Introduction 
 245 Record Production of Foodgrains
 246 MSP to Ensure Returns Over the Cost of Production
 246 Enhanced Access to Agricultural Credit
 247 Farm Mechanisation- Key to Improving Productivity 
 247 Chemical-free India: Organic and Natural Farming 
 248 Other Important Initiatives in Agriculture 
 252 Allied Sectors: Animal Husbandry, Dairying and Fisheries Catching up in Recent 
Years
 253 Sahakar-Se- Samriddhi: From Cooperation to Prosperity 
 255 Food Processing Sector-The Sunrise Sector
 256 Food Security- Social & Legal Commitment to the People of the Nation
 258 Conclusion
9  Industry: Steady Recovery
 261 Introduction
 262 Demand Stimulus to Industrial Growth
 265 Supply Response of Industry
 269 Robust Growth in Bank Credit to Industry
	 270	 Resilient	FDI	Inflow	in	Manufacturing	Sector
 272 Industry Groups and their Challenges 
 284 India’s Prospects as a Key Player in the Global Value Chain
 291 Conclusion and Outlook
10  Services: Source of Strength 
 293 Introduction
 294 Trends in High-Frequency Indicators
 297 Major Services: Sub-Sector-Wise Performance 
 310 Outlook
11  External Sector: Watchful and Hopeful
 312 Introduction
	 313	 T rade	Helping	India	Reap	the	Benefits	of	Globalised	 W orld
 326 Balance of Payments in Challenging Times
	 333	 Exchange	Rates	Moving	in	 T andem	with	Global	Developments
	 335	 International	Investment	Position:	 A 	Reflection	of	India’ s	Financial	Soundness	
	 336	 Safe	and	Sound	External	Debt	Situation
	 339	 Outlook	for	the	External	Sector	Caution	 Amidst	Global	Headwinds
12  Physical and Digital Infrastructure: Lifting Potential Growth
 343 Introduction 
 345 Government’s Vision and Approaches to Infrastructure Development in India 
 352 Developments in Physical Infrastructure Sectors
 360 Developments in Digital Infrastructure 
 371 Conclusion/Outlook
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