India’s investment rate needs to rise to 34–35% to get 7% growth, says EAC-PM Chair

The article covers S. Mahendra Dev, Chair of the Economic Advisory Council to the Prime Minister, stating that India must raise its investment rate to 34–35% of GDP to sustain 7% growth. It highlights the need for higher private investment, improved domestic demand, and export diversification. Dev stresses that manufacturing must absorb more labour and the “missing middle” of medium-sized firms must be built. The article also notes fiscal and monetary coordination, policy reforms, and structural constraints that could limit private capex, positioning these as key levers for long-term macroeconomic stability.