The Centre has been repeatedly battling India's slump in GDP growth ever since the Central Statistical Organisation released the latest figures on Wednesday. The latest to join the league is Niti Aayog Vice-Chairman Arvind Panagariya.
One of Prime Minister Narendra Modi's top advisers, he said the pain caused by the government cash clampdown late last year was over and the economy would see a "good" turnaround in the current quarter.
Panagariya on Friday said India's economic growth is expected to pick up to 7.5 per cent by March 2018, as the government has sustained eight per cent growth rate over the next two years.
"Lot of good things have happened in the presence of the current government. Inflation has come down nearly three percent, current account deficit ( CAD) lowered around one per cent and the growth has restored," Arvind Panagariya told reporters here while sharing the future projections for the Indian economy.
"In terms of reforms, the Goods and Services Tax (GST) has been the biggest tax reform after the Insolvency and Bankruptcy Act, which is very important for the growth of the country," added Panagariya.
He said the address of the non-performing assets ( NPAs) by the government will see substantial growth in the next few months.
Further to this, he announced to the launch programmes, which take place for the next few months. He announced execution of two documents that will include the action agenda for next three years, apart from the other documents that will include the strategy and vision of the next 15 years of the government.
"Under the objective of Prime Minister Narendra Modi, we are making an effort to bring about an agricultural marketing reform to double the farmers income," he announced.
Panagariya also said it would be "very, very difficult" to privatise state-run Air India, given the carrier's current debt load.
India's annual economic growth had unexpectedly slipped to 6.1 per cent in the January-March quarter, its lowest in more than two years.
The government's shock decision last November to outlaw high value old banknotes took 86 per cent of currency out of circulation virtually overnight, pounding consumer demand as most people live in the cash economy.
