Rural Economic Environment in India

The Indian economy has been passing through the trajectory of high growth for several years. The overall Gross Domestic Product (GDP) is estimated to grow at 8.4 per cent, with the agriculture and allied sector projected to bounce back with 3.9 per cent growth during 2005-06. The Government has also been consolidating its fiscal position, creating a conducive climate for investment activities. Investment demand in the economy is picking up, reflecting the growing dynamism in the industrial sector. The exports have also assumed vibrancy. Thus, the Indian economy as a whole is poised for still higher growth in the coming years.