“In the days to come, India will have to ensure that its agriculture sector is doing well since even small shortfalls disrupt economic growth,” said C. Rangarajan, former RBI governor. He also put stress on the need to focus on agriculture growth.
While delivering a lecture in Chennai, he said that in order to improve agriculture, the country needs to improve productivity along with the marketing for agricultural produce.
He further added that another area that needed attention was the power sector. “It is not only Tamil Nadu that has a power crunch. There are a number of States in a similar situation,” he remarked.
“In addition to good policies, good governance is also needed to ensure that the country experiences economic growth. Only if India grows at 8 to 9 per cent per year will the per capita GDP increase from $1,600 to $8,000 by the year 2025. It is only when we reach that level that we will rise from a low-income country to a mid-income country,” he said.