Formal sector to be at pre-Covid levels: Montek Singh Ahluwalia
ECONOMY & POLICY

Formal sector to be at pre-Covid levels: Montek Singh Ahluwalia

Former deputy chairman of Planning Commission Montek Singh Ahluwalia told the media that the Indian economy has bottomed out and that the formal sector is likely to return to pre-pandemic levels by the end of this year.

Speaking at a virtual event, Ahluwalia said that he supports the National Monetisation Pipeline (NMP), which will seek to unlock value in infrastructure assets ranging from power to roads and railways.

Despite a devastating second wave of Covid-19 cases, the Indian economy grew by a record 20.1% in the April-June quarter, helped by a very weak base from last year and a sharp rebound in the manufacturing and services sectors.

The Reserve Bank of India (RBI) has cut its growth forecast for the current fiscal year from 10.5% to 9.5%, while the World Bank predicts 8.3% growth for India in 2021.

Nirmala Sitharaman, the Finance Minister, announced a Rs 6 lakh crore National Monetisation Pipeline last month. Since November last year, hundreds of farmers, mostly from Punjab, Haryana, and western Uttar Pradesh, have camped near Delhi's borders, demanding that the centre repeal three contentious farm laws.

The government and farmers' meetings have held 11 rounds of talks, the most recent on January 22. Farmers have been camping at Delhi's border in protest of three laws they say will end state procurement of crops at MSP. On January 26, protesting farmers staged a tractor rally, which resulted in widespread violence.

The three farm bills, which will go into effect in September 2020, are expected to be major reforms in the agriculture sector, removing middlemen and allowing farmers to sell their goods anywhere in the country.

Protesting farmers, on the other hand, have expressed concerns that the new laws will allow for the elimination of the minimum support price safety net and the elimination of the mandi or wholesale market system, leaving them at the mercy of large corporations.

Image Source


Also read: United Nations’ report cites 7.2% growth in Indian economy

Former deputy chairman of Planning Commission Montek Singh Ahluwalia told the media that the Indian economy has bottomed out and that the formal sector is likely to return to pre-pandemic levels by the end of this year. Speaking at a virtual event, Ahluwalia said that he supports the National Monetisation Pipeline (NMP), which will seek to unlock value in infrastructure assets ranging from power to roads and railways. Despite a devastating second wave of Covid-19 cases, the Indian economy grew by a record 20.1% in the April-June quarter, helped by a very weak base from last year and a sharp rebound in the manufacturing and services sectors. The Reserve Bank of India (RBI) has cut its growth forecast for the current fiscal year from 10.5% to 9.5%, while the World Bank predicts 8.3% growth for India in 2021. Nirmala Sitharaman, the Finance Minister, announced a Rs 6 lakh crore National Monetisation Pipeline last month. Since November last year, hundreds of farmers, mostly from Punjab, Haryana, and western Uttar Pradesh, have camped near Delhi's borders, demanding that the centre repeal three contentious farm laws. The government and farmers' meetings have held 11 rounds of talks, the most recent on January 22. Farmers have been camping at Delhi's border in protest of three laws they say will end state procurement of crops at MSP. On January 26, protesting farmers staged a tractor rally, which resulted in widespread violence. The three farm bills, which will go into effect in September 2020, are expected to be major reforms in the agriculture sector, removing middlemen and allowing farmers to sell their goods anywhere in the country. Protesting farmers, on the other hand, have expressed concerns that the new laws will allow for the elimination of the minimum support price safety net and the elimination of the mandi or wholesale market system, leaving them at the mercy of large corporations. Image SourceAlso read: United Nations’ report cites 7.2% growth in Indian economy

Next Story
Infrastructure Urban

ABB to Invest Rs 6.25 Billion to Expand India Manufacturing

ABB recently announced plans to invest approximately Rs 6.25 billion ($75 million) in India during 2026 to expand its manufacturing footprint and research and development capabilities. The investment follows more than $35 million spent in 2025 and reflects the company’s continued focus on strengthening its ‘local-for-local’ strategy in the country.The investment will support ABB’s Electrification, Motion and Automation businesses and expand manufacturing capacity for infrastructure sectors such as renewable energy, metro rail, data centres and industrial applications. Approximately 300..

Next Story
Equipment

Six WOLFF Cranes Handle 60,000 m³ Concrete for German Hospital

Six WOLFF tower cranes are playing a key role in constructing a new hospital complex in Memmingen, Germany, supporting large-scale material handling for the project. The facility is being built on a 7.7-hectare site and will feature six floors, around 480 beds and a gross floor area exceeding 75,000 sq m.Building shell works began recently in February 2025. One WOLFF 6531.12 Cross crane supported early site preparation before being dismantled in autumn 2025, while five remaining cranes continue operations. Over an average deployment period of 16 months, the cranes are expected to move approxim..

Next Story
Equipment

REC Funds Rs 115.6 Million CSR Support for Bihar Eye Hospital

REC recently committed Rs 115.6 million under its Corporate Social Responsibility (CSR) programme for the procurement of clinical and non-clinical equipment at Sankara Eye Hospital in Saharsa, Bihar. The initiative aims to strengthen healthcare infrastructure and improve access to specialised eye care services in the region.A Memorandum of Agreement (MoA) was recently signed between Pradeep Fellows, Executive Director (CSR), REC Limited, and Wg Cdr V. Shankar (Retd), Trustee and Executive Director of Sankara Eye Hospital, at the REC office in the SCOPE Complex, New Delhi.The support is expecte..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement