Economic Survey, tabled in Parliament on Friday by Finance Minister Arun Jaitley set the agenda for reforms needed to further drive the expansion, prune wasteful expenditure and promote productive investment.
"India has reached a sweet spot and that there is a scope for Big-Bang reforms now," the report said.
The survey pegged GDP growth at more than 8 per cent for the next financial year and said inflation was now declining.
TRACK HIGHLIGHTS:Economic Survey 2014-15
The the annual report card on the state of the economy, authored by a Chief Economic Advisor Arvind Subramanian-led team, said the growth should now rise further and double-digit expansion was a possibility.
On inflation, the survey said, there has been a fall of over 6 percentage points since 2013, even as the external sector, which includes exports and inflow of foreign funds, was returning to a path of strength and resilience. Industrial growth has also picked up now.
The report also had some good news to report on the farm sector. "Foodgrain production for year 2014-15 is estimated at 257.07 million tonnes and will exceed that of last years by 8.5 million tonnes," it said.
The Economic Survey also made a case for rationalisation of subsidies and said such doles did not appear to have had a transformative effect on the living standards of the poor. On the fiscal side, it said the government was committed to consolidation with revenue generation a priority.
FULL COVERAGE:Union Budget 2015