Budget, economic survey aligned on urbanisation and manufacturing focus: CEA Anantha Nageswaran

Chief Economic Advisor (CEA) Anantha Nageswaran.

Chief Economic Adviser V Anantha Nageswaran on Tuesday said there is clear synergy between the Union Budget and the Economic Survey, with both placing strong emphasis on urbanisation, manufacturing and infrastructure to support long-term economic stability.

Speaking at an event organised by PHDCCI, Nageswaran noted that the Budget has carried forward several special concerns highlighted in the Economic Survey, particularly the need to make Indian cities more liveable.

He added that the 16th Finance Commission report has also underscored the importance of urbanisation, indicating a broader policy alignment on the issue.

Highlighting the role of manufacturing, the CEA said a strong industrial base is essential for achieving a stable and resilient currency.

He stressed that manufacturing and exports are crucial for lowering the cost of capital and strengthening the country’s economic position, especially at a time when global supply chains are facing disruptions and several countries are unable to supply inputs on time.

Nageswaran also pointed to customs duty exemptions as a key measure to reduce the cost of manufacturing, calling them vital for improving competitiveness.

He said the Budget has maintained fiscal consolidation while continuing its emphasis on infrastructure spending, which remains a central pillar of growth strategy.

On inflation, the CEA said India is currently witnessing one of the longest phases of non-inflationary growth in the 75 years since Independence, signalling macroeconomic stability alongside expansion.