Economy recovery faster than expected: FinMin adviser

Kolkata, March 2

Indian economy is recovering faster than expected and the government will spend on building infrastructure rather than boosting consumer demand artificially, principal economic adviser to the Finance Ministry Sanjeev Sanyal said on Tuesday.

Speaking at a webinar organised by the Bharat Chamber of Commerce, he said the country needs to keep the growth momentum and it is the only means to create employment and reduce poverty.

"We are recovering much faster than expected and need to keep the growth momentum in the next two years. The government will make capital expenditure on infrastructure to create assets rather than boosting consumer demand artificially.

"If we need to reduce poverty, the growth has to keep going. Else, we will end up in redistributing poverty as had happened in West Bengal where I come from," Sanyal said.

After contracting for two quarters in a row, the country's economy grew by 0.4% in the October-December quarter of the current fiscal amid the coronavirus pandemic. — PTI