NITI Aayog CEO Amitabh Kant said on Saturday that India’s personal debt and gross domestic product (GDP) ratio is the lowest compared to its global peers and the government is yet to put a framework in place to promote loans in untouched areas. .
He said at a virtual event organized by the Global Alliance for Mass Entrepreneurship (GAME) that in recent years, the debt scenario was considered a weight in large part of India. He said, ‘India’s personal debt and GDP ratio is the lowest compared to its global peers. Countries like China and South Korea have seen tremendous growth, their standard of living has improved massively. ‘
He added that even Vietnam’s recent growth has been due in part to an increase in private debt. Kant said that micro, small and medium enterprises (MSMEs) play an important role in providing employment, but their credit needs are far less met by the formal financial sector.
It is known that the NITI Aayog has predicted that the country’s economic growth rate will reach the level before the Kovid-19 (Corona Virus) epidemic by the end of FY 2021-22 i.e. March 2022.
The Reserve Bank of India (RBI) has also predicted the economic growth rate to be minus 7.5 percent in the revised forecast for the current financial year (2020-21), as against the earlier forecast of minus 9.5 percent.