Structural reforms could ‘unleash’ Indian growth – IMF paper

Study highlights shift in sources of productivity growth in India

strategy-growth

Structural reforms could tackle bottlenecks in Indian productivity growth in the wake of Covid-19, helping to “unleash” growth, research published by the International Monetary Fund finds.

The paper, by Shinya Kotera and TengTeng Xu, shows how India’s growth was mainly driven by rises in labour productivity in the 1970s and 80s. Capital productivity growth began to take over in the 1990s and 2000s, and then a mix of capital and total factor productivity (TFP) growth became key in the past

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