Economic Survey Expects Flat GDP Growth in FY17, Inflation To Dip
Feb 26, 2015: The union budget will be presented on Feb 29. There are a lot of expectations from the budget. According to an economic survey, the government is expecting a flat growth in GDP in this fiscal year. The expected growth in GDP is 7 to 7.5 per cent in this fiscal year to March 2017.
This economic growth is expecting India to grow 8 per cent in the next years. This survey has been conducted by the chief economic advisor to the finance ministry, Arvind Subramanian.
Key points of the report:
Fiscal Deficit: The GDP fiscal target is expected to be 3.5 per cent for the upcoming fiscal year. The current fiscal deficit is 3.9 per cent of GDP.
Inflation: Next important point is consumer price inflation. RBI is expecting to achieve 5 per cent inflation target by March 2017. The price stability has been improved. The fall in oil prices is discouraging inflationary expectations.
Currency: The value of rupee is falling against the dollar. RBI must take steps to strengthen the rupee. The government should take measures for monetary relaxation. The value of rupee is 0.015 dollar right now.