29 January, New Delhi
Economic Survey 2017-18 has predicted 7 to 7(point) 5 percent of country’s GDP growth in 2018-19. It says that a series of major reforms undertaken over the past year will allow real GDP growth to reach 6.75 percent this fiscal and will rise to 7.0 to 7.5 percent in 2018-19. It said the employment, education and agriculture will be the focus areas in the midterm. The Survey was tabled by Finance Minister Arun Jaitley in Parliament Monday.
The survey underlines that due to the launch of transformational Goods and Services Tax (GST) reform, resolution of the long-festering Twin Balance Sheet problem, implementing a major recapitalization package to strengthen the public sector banks, further liberalization of FDI and the export uplift from the global recovery, the economy began to accelerate in the second half of the year and can clock 6.75 percent growth this year.
The survey points out that as per the quarterly estimates, there was a reversal of the declining trend of GDP growth in the second quarter of 2017-18, led by the industry sector. The Gross Value Added at constant basic prices is expected to grow at the rate of 6.1 per cent in 2017-18 as compared to 6.6 per cent in 2016-17.
Similarly, Agriculture, industry and services sectors are expected to grow at the rate of 2.1 per cent, 4.4 per cent, and 8.3 per cent respectively in 2017-18. The survey also adds that after remaining in negative territory for a couple of years, growth of exports rebounded into positive one during 2016-17 and expected to grow faster in 2017-18.