New Delhi: Finance Minister Nirmala Sitharaman on Friday tabled the Economic Survey 2020 on what was the first day of the Budget session. The Survey, prepared by Chief Economic Adviser KV Subramanian, pegged the gross domestic product (GDP) growth rate for the current financial year, ending on March 31, at 5%. Also Read - Union Budget 2020: Confused Between Tax Exemption, Deduction And Rebate? Here's What to Know

The development, however, marks a sharp decline from the estimate of 7% growth as was predicted by the Economic Survey last year. Also Read - Union Budget 2020: Aluminium Industry Seeks Lower Import Duty on Key Raw Materials

For the next financial year, i.e. between April 1, 2020-March 31, 2021, the Survey projected a GDP growth rate of 6-6.5%. Also Read - Union Budget 2020: Increase Import Duty on Medical Devices in Graded Manner, Says Engineering Export Promotion Council

Among other things, the Economic Survey also revealed that the rate of inflation declined from 3.2% in April 2019 to 2.6% in December 2019, thus, in the words of the Survey, ‘reflecting the weakening of demand pressure in the economy.’

The Survey also predicted that private investment may get crowded on higher spending on infrastructure by the government. It also said that there is a room for rationalising subsidies, especially food. To the real estate companies, it suggested that they cut their home prices to clear their unsold inventories. It further estimated that continued global trade tensions could hit India’s exports.

The Budget session of the Parliament started with President Ram Nath Kovind delivering an address to the MPs. It will go on till April 3 in two phases. While phase one will be from January 31-February 11, phase two will be between March 2-April 3.

Union Finance Minister Nirmala Sitharaman will table the first full Budget of the Modi 2.0 government on Saturday, i.e February 1.