Modi vows to hold himself accountable for making India world’s 3rd-largest economy

Prime Minister Narendra Modi on Tuesday vowed to hold himself accountable for making India the world’s third-largest economy in his third term and said he was pleased to say that great and consistent progress was being towards achieving the ambitious goal.

“As a member of a community [politicians] which is often criticised for abandoning campaign promises, I am committed to being an exception. I am holding myself accountable for my vow to make India the world’s third-largest economy in my third term,” Modi said in his address to the inaugural session of “Journey Towards Viksit Bharat (developed India): A Post Union Budget 2024-25 Conference” in New Delhi.

The Confederation of Indian Industry (CII) has organised the conference to outline the government’s vision for growth and the industry’s role in it. Over 1,000 participants from industry, government, diplomatic community, and think tanks are attending the conference.

Modi referred to the Covid-19 pandemic and said he recalls discussing getting growth back. “...at that time, I promised you that India would soon be back on the development path,” he said. He added today India grows at the rate of 8% annually. “We are witnessing the journey towards Viksit Bharat. This change is not merely of sentiments, but of confidence,” he said. “I urge you all to reflect, discuss, and appreciate the progress we have made from the depths of crisis to the heights of success.”

Modi said the government has navigated India out of major crisis and transformed it into a shining example of growth and development. He added reviving the economy was their biggest challenge when they came to power in 2014.

Modi said the “Fragile Five” crisis, or inclusion among nations perceived to be most at risk due to reliance on foreign investment for growth, and scams running into lakhs of crores derailed the economy. “Today we are proud to say that we have put India back on track,” said Modi.

He said the Capital Expenditure (Capex) was ₹2 lakh crore in 2014. “In contrast, our government has significantly accelerated investments with Capex surpassing ₹11 lakh crore today. ...while Capex merely doubled between 2004 and 2014, it has grown five-fold under our leadership in just nine years. This demonstrates our comprehensive approach to economic development, with targeted investments across every sector.”

Modi said over the last decade, India’s manufacturing landscape has undergone a profound transformation. “We have spearheaded initiatives like ‘Make in India’, liberalised FDI [foreign direct investment] policies across sectors, and set up multi-modal logistics parks. Additionally, we have introduced Production-Linked Incentive (PLI) schemes for 14 key sectors.” Modi said these strategic moves have increased the manufacturing sector’s confidence to unprecedented levels, ushering in a new era of growth and self-reliance.