increase by 7.3%, supported by rural demand recovery.

Agriculture Sector
• Expected to grow at 3.8% in FY25, driven by horticulture, livestock, and fisheries.
• Kharif food grain production is projected to reach 1647.05 lakh metric tonnes (LMT), a 5.7% increase from FY24.

Industrial Sector
• Growth projected at 6.2% in FY25, with strong expansion in construction, electricity, water supply, and utility services.

Services Sector
• Expected to grow at 7.2% in FY25, supported by financial services, real estate, public administration, and defense.
• Services exports surged by 12.8% during April-November FY25, up from 5.7% in FY24.

2. Inflation and Fiscal Stability
• Retail Inflation: Softened to 4.9% (April-December 2024), down from 5.4% in FY24.
• Consumer Price Inflation (CPI): Expected to align with the 4% target in FY26.
• Food Inflation: Rose to 8.4% in FY25, mainly due to higher prices of vegetables and pulses.

3. Foreign Trade and Investment
• Overall Exports: Grew by 6% year-on-year (YoY) during April-December 2024.
• Gross Foreign Direct Investment (FDI): Increased from $47.2 billion in FY24 to $55.6 billion in FY25, reflecting a 17.9% growth.
• Forex Reserves: Stood at $640.3 billion as of December 2024, covering 10.9 months of imports and 90% of external debt.

4. Infrastructure and Capex Growth
• Capital Expenditure (Capex): Grew at 8.2% between July-November 2024, with further acceleration expected.
• Railways Expansion: 2031 km of railway network commissioned and 17 new Vande Bharat trains introduced in FY25.
• Port Efficiency: Average container turnaround time reduced from 48.1 hours in FY24 to 30.4 hours in FY25 (Apr-Nov).
• Renewable Energy: Capacity addition in solar and wind power increased by 15.8% YoY in December 2024.

5. Employment and Social Development
• Unemployment Rate: Declined to 3.2% in FY24, down from 6.0% in FY18.
• Government Health Expenditure: Increased from 29% to 48% of total health expenditure between FY15 and FY22.
• Social Services Spending: Recorded an annual growth of 15% between FY21-FY25.

6. Ease of Doing Business & Deregulation

The Survey emphasizes systematic deregulation to foster economic growth. It calls for:
• Ease of Doing Business (EoDB) 2.0, focusing on reducing operational costs, simplifying regulations, and liberalizing trade policies.
• Self-Reliant India Fund: ₹50,000 crore allocated to support MSMEs.
• State-Led Deregulation Efforts: Encouraging SME sector growth through targeted reforms.

7. India’s Future Economic Outlook
• Medium-Term Growth Strategy: The Survey suggests continued infrastructure investments over the next two decades to maintain high economic growth.
• AI and Workforce Development: The government aims to enhance education and skill development to prepare the workforce for an AI-driven economy.
• Geopolitical Challenges: Risks from global trade uncertainties and commodity price fluctuations remain key concerns for future growth.

The Economic Survey 2024-25 underscores India’s resilient economic growth, backed by strong private consumption, robust infrastructure investment, stable inflation, and expanding exports. While external risks such as geopolitical tensions and trade uncertainties pose challenges, India’s focus on deregulation, digital economy, and sustainable growth is expected to drive long-term prosperity.

India’s vision of “Viksit Bharat 2047” will depend on policy reforms, innovation, and a thriving industrial and services sector, ensuring the nation remains one of the fastest-growing major economies in the world.