Demonetisation is the reason of current slowdown in India’s economic growth: Manmohan Singh

June 6, 2017, 6:33 pm
Demonetisation is the reason of current slowdown in India’s economic growth: Manmohan Singh
INDIA
INDIA
Demonetisation is the reason of current slowdown in India’s economic growth: Manmohan Singh

Demonetisation is the reason of current slowdown in India’s economic growth: Manmohan Singh

Former Prime Minister Manmohan Singh said on Tuesday that the current slowdown in the country's growth is due to the demonetisation move taken by the BJP government.

Expressing serious concerns over the situation, Singh said India's economy is running on just one engine of public spending.

He was speaking at the Congress Working Committee (CWC) meet. He said the note ban has affected on job creation in the country very badly.

"The Gross Value Addition (GVA) is the true sub-measure of economic activity and it has experienced a steep and sustained fall", he said.

Private sector investment has collapsed and the economy is running on just one engine of public spending
Manmohan Singh, former PM

In the meeting chaired by Congress President Sonia Gandhi, he said the GVA growth of the industry has fallen from 10.7 percent in March 2016 to just 3.8 percent in March 2017, a decline of nearly seven percentage points of growth.

"The most worrisome aspect of all this is the impact on job creation. Jobs have been extremely hard to come by for the youth of the nation," he said

The former Prime Minister noted that the construction industry, which is one of the largest employment generators in the country, has suffered contraction

This, he said, "implies loss of millions of jobs for the nation's workforce".