India’s Economic Growth Coupled with Social and Institutional Progress: Economic Survey 2023-24

New Delhi: India’s high and sustained economic growth in recent years is being accompanied by significant social and institutional progress, driven by effective implementation of government programmes, according to the Economic Survey 2023-24. The Survey was tabled by the Union Minister of Finance and Corporate Affairs, Smt. Nirmala Sitharaman, in Parliament today.

The Economic Survey highlights a notable increase in government spending on social services since FY16, reflecting a commitment to improving the social well-being of Indian citizens. From FY18 to FY24, overall social welfare expenditure has grown at a Compounded Annual Growth Rate (CAGR) of 12.8%, while health expenditure has seen an impressive CAGR of 15.8%. In the Budget Estimates (BE) for 2023-24, the total expenditure on social services is projected to be Rs. 23.5 lakh crores, with health expenditure rising to Rs. 5.85 lakh crores. This marks a significant increase from the Rs. 11.39 lakh crores spent on social services and Rs. 2.43 lakh crores on health in 2017-18.

As a percentage of GDP, expenditure on social services has grown from 6.7% in 2017-18 to 7.8% in 2023-24. Health expenditure, in particular, has increased from 1.4% to 1.9% over the same period. Furthermore, the Survey notes that the proportion of total government expenditure allocated to social services has risen to 26% in the 2023-24 BE, with health expenditure constituting 6.5% of this total.

The Economic Survey 2023-24 underscores the Indian government’s commitment to enhancing the quality of life for its citizens through sustained investment in social services, particularly in the health sector. This focus on social and institutional progress, alongside robust economic growth, sets a positive trajectory for the nation’s future.