• ANILA C
• Dr K M FRANCIS
• Dr SABU P J

This paper examines the relationship between India’s gross domestic product, domestic saving and investment. The ups and downs in domestic saving and investment have its direct impact on the economy’s growth path. For long term sustained development the nation must enhance its saving and investment potentials. Raising the saving ratio is of utmost importance as it improves the liquidity, provides fund for the nations development activities and capital formation. Higher domestic savings also helps to attract foreign investments and also to reduce the gap between saving and investment. As the household sector is the dominant sector that contributes to GDP, saving rate especially financial savings of the households need to be properly pooled and channelized into productive investment avenues. To achieve higher rate of growth with relative price stability, propensity to save and invest should be enhanced through proper policies and incentives.

Gross Domestic Product, savings, investment, capital formation

"An Analysis of the close nexus between Savings, Investment and Gross Domestic Product in India", International Journal of Emerging Technologies and Innovative Research (www.jetir.org), ISSN:2349-5162, Vol.7, Issue 4, page no.1659-1663, April-2020, Available :http://www.jetir.org/papers/JETIR2004424.pdf

"An Analysis of the close nexus between Savings, Investment and Gross Domestic Product in India", International Journal of Emerging Technologies and Innovative Research (www.jetir.org | UGC and issn Approved), ISSN:2349-5162, Vol.7, Issue 4, page no. pp1659-1663, April-2020, Available at : http://www.jetir.org/papers/JETIR2004424.pdf