Government has stated that structural reforms are necessary for achieving a sustainable growth of 7 per cent to 8 per cent and for making India a $5 trillion economy in the next 12 years.
"If we take our $2 trillion economy and get it on the sustainable 7-8 per cent growth rate then we have a situation when the economy doubles in 10 or 12 years to $4 trillion economy. If rupee strengthens we may end up getting closer to $5 trillion economy," Minister of State for Finance Jayant Sinha said on Wednesday while addressing the Delhi Economics Conclave.
Sinha also made a strong pitch for "deep structural reforms" to achieve a sustainable and non-inflationary growth of 7-8 per cent over longer period of time.
"We also need to get the economy up to a long term growth rate of 7-8 per cent, it will have ups and downs. But ultimately long term growth rate for the Indian economy has to be 7-8 per cent," he said.The minister said there was a need to control inflation at 4-6 per cent over the years.
listing the priorities before the government, he said, there is a need to pursue macroeconomic stability, build world class infrastructure, unlock entrepreneurial energy and put in place social security system.Sinha also made a case for supply side revolution to enable the country dramatically increase its growth potential.