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India needs 8% growth to achieve ‘Viksit Bharat’ dream by 2047; Here's what Economic Survey 2025–26 says about India growth outlook

India needs 8% growth to achieve ‘Viksit Bharat’ dream by 2047; Here's what Economic Survey 2025–26 says about India growth outlook

Economic Survey 2025–26 Photograph: (Economic Survey 2025–26)

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India needs to grow at around 8% for the next 10–20 years to become a developed nation by 2047, says the Economic Survey 2025–26. It also says inflation remains under control despite global uncertainty.

Indian Union Minister Nirmala Sitharaman on Thursday (Jan 29) tabled the Economic Survey 2025–26, tabled in the Lok Sabha. This year's "report card" of the Indian economy has laid out an ambitious but cautious roadmap for India's medium-term growth, arguing that "deregulation" and greater economic freedom will be central to sustaining high growth in a fragmenting global economy.

Here’s what the Survey says about where India is headed.

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India needs 8% growth for a decade

According to the Economic Survey, to realise its economic aspirations of becoming "Viksit Bharat" by 2047, India needs to achieve a growth rate of around eight per cent (8%) "at constant prices, on average" for at least 10 to 20 years.

That target, it notes, is necessary to:

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  • Raise living standards,
  • Create enough jobs,
  • Build future-ready infrastructure,
  • And transition into a developed economy by the centenary of independence

What is India's current growth rate?

The Survey projects India's potential growth rate at 7 per cent, revised upward from 6.5 per cent estimated three years ago. This reflects gains from structural reforms, higher public investment, improved logistics and strengthening supply-side conditions.
"The economy retains momentum and growth is likely to be sustained into FY27," the Survey noted, adding that India continues to be better placed than most major economies due to its large domestic market, strong macroeconomic framework and relatively low external vulnerabilities.

What the Economic Survey says about inflation

On inflation, the Survey said price pressures remain "tamed and anchored", despite periodic volatility in food prices. It noted that core inflation has remained subdued, indicating improved supply-side efficiency, better logistics, and expanding productive capacity across sectors.

"There is no threat of higher inflation from crude oil imports at present," the Survey noted, adding that stable inflation expectations have helped preserve macroeconomic stability even in an uncertain global environment.

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Moohita Kaur Garg

Moohita Kaur Garg is a senior sub-editor at WION with over four years of experience covering the volatile intersections of geopolitics and global security. From reporting on global...Read More