Productivity, Not Just Growth: India’s Path to Viksit Bharat 2047
Economy · Saturday, 16 May 2026
India's economic focus shifts from GDP growth to structural productivity growth as it aims for Viksit Bharat 2047.
Quick highlights
- Focus on Total Factor Productivity (TFP) for economic growth.
- Addressing the 'missing middle' in manufacturing.
- Importance of skill development and efficient resource allocation.
- Challenges include reliance on capital accumulation.
Context
The Economic Survey 2025-26 emphasizes productivity-led growth.
Key Facts
India's GDP growth is increasingly reliant on productivity improvements.
Significance
Enhancing productivity is vital for achieving Viksit Bharat 2047.
Challenges / Way Forward
Overcoming structural challenges in the economy to boost productivity.
Exam Angle
Relevant for GS Paper 3 on Economy and Development.
Remember this
- India's GDP growth rose to 7.4% in FY26.
- Over 55% of rural workforce in low-productivity agriculture.
- Zombie firms consume significant corporate debt.
- Insolvency and Bankruptcy Code (IBC) aims to improve capital allocation.