26.3 C
Delhi
Thursday, October 22, 2020

FM hints at more relief measures for the Economic Slowdown

- Advertisement -

We dont want any telecom firm to shut ops: FMNew Delhi, Nov 30 (IANS) Finance Minister Nirmala Sitharaman said on Saturday that several significant steps in structural reforms have been taken in the past few months and responses/interventions addressing the needs of the economy will continue, indicating more relief measures could be on the anvil, if so needed.

The FM’s statement came a day after it was announced that the GDP growth rate of the country went down to 4.5 per cent, slowest in over six years.

“Today, we mark the completion of six months of the second term of @PMOIndia @narendramodi. Several significant steps in structural reforms have been taken in these months. Responses/interventions addressing the needs of the economy will continue”, the FM tweeted in response to a tweet by Prime Minister Narendra Modi Awhich she also retweeted.

“It is 6 months of 2nd term of PM Modi. These #6MonthsOfIndiaFirst have given India a phenomenal reform momentum” was the tweet from the Prime Minister.

Interestingly, the PM has also listed most economic steps of the government saying India is on track of becoming a 5 trillion dollar economy by 2014.

The target of 5 trillion dollar has come under heavy scrutiny after the dismal growth in the last two quarter marking the six months of the current government though part of the April-June quarter fell into the last government duration which was also the NDA government.

Former RBI Governor and noted economist C Rangarajan has said the 5-trillion dollar target simply out of question by 2025 at the current growth rate.

While the first quarter growth slipped to a six-year low of 5 per cent, the second quarter growth has now further slipped to 4.5 per cent now. Even RBI has lowered its growth full year forecast in two months to 6.1 per cent in its October policy review.

As on steps, Sitharaman slashed the corporate tax rate to 22 per cent from 30 per cent for existing companies, and to 15 per cent from 25 per cent for new manufacturing companies. Including a surcharge and cess, the effective tax rate for existing companies would now come down to 25.17 per cent from 35 per cent which involved an outgo of Rs 1.45 lakh crore. Companies can opt for the higher tax rates or the new ones.

The government also brought changes in IBC where now NBFCs With Rs 500 Crore Assets Can Go For Insolvency Resolution bringing the finance companies under the ambit of insolvency. Its already notified and DHFL is already in NCLT. This came against the backdrop of the ongoing liquidity crisis in the NBFCs that has also sparked concerns about the overall stability of the financial sector.

Under the NBFC liquidity injection response of the government , there have been steps. Public sector banks have been sanctioned to purchase Rs 21,580 crores of pooled assets as on October 16. Moreover, the National Housing Bank has also extended Rs 30,000 cr worth of credit lines to NBFCs.

Housing sector received maximum attention like NBFCs during these six months. The Centre had announced a Rs 25,000 crore stimulus package for the ailing real estate sector earlier this month.

Sitharaman had announced that the government plans to give impetus to the housing market to revive over 1,600 stalled housing projects covering 4.58 lakh units and now this window will be operational in two months, DEA secretary Atanu Chakraborty has said.

The decision will also generate considerable employment, revive demand of cement, iron and steel industries and relieve stress in other major sectors of the economy, according to the government.

On the mega merger of 10 PSU banks which was also a marquee announcement in these six months, the mergers have been moving on with various approvals to start new structures as on April 1, 2020.

The PSU Banks have also been capitalised with Rs 55,250 crore bonds. However, Credit growth to the industry decelerated marginally to 3.4 per cent in October 2019, from 3.7 per cent in October 2018, according to the Reserve Bank of India’s (RBI’s) sectoral deployment of credit data.

The government has also gone some steps towards meeting the huge disinvestment target where it took decisions on privatising BPCL,Concor and SCI along with the decision to pare stakes below 51 per cent without losing PSU characteristics. Advisors has been appointed for BPCL and on Air India privatisation, roadshows have been held.

The success of both these divestment exercises are crucial to the meeting of target and also providing revenues to the government which is likely to face shortfall on account of tax revenues.

The CGA data showed that the government’s revenue receipts during the April-October period of 2019-20 rose to 46.2 per cent of the Budget Estimate as compared to 45.7 per cent in the corresponding period last year.

India Updates
India Updates is an independent news & Information website. Follow us for regular updates on News and Information.

Follow Us On

Related News

Jio revamps its made-in-India browser as JioPages

New Delhi, Oct 22 (IANS): Reliance Jio has revamped its made-in-India browser as JioPages, which supports eight Indian languages -- Hindi, Marathi, Tamil, Gujarati, Telugu,...

India at the doorstep of revival: RBI Governor

New Delhi, Oct 22 (IANS): Reserve Bank of India (RBI) Governor Shaktikanta Das said on Wednesday that India is at the doorstep of a...

India moving rapidly towards indigenously-made supercomputers

New Delhi, Oct 22 (IANS) India is fast expanding its supercomputer facilities and developing the capacity to manufacture its own supercomputers in the country,...

Now coal demand expected to rise in festive season, say Ind-Ra

New Delhi, Oct 21 (IANS) Coal demand is expected to pick up on a year-on-year basis as the end-user industries ramp-up capacity utilisations during...

ECI sets up panel to examine expenditure limit for candidates

New Delhi, Oct 21 (IANS) In view of upcoming elections, the Election Commission has constituted a two-member committee to examine the issues concerning expenditure limit...

Income Tax Department carries out searches in Bihar

New Delhi, Oct 21 (IANS) The Income Tax Department carried out searches on October 19 in the cases of two government contractors having premises...

LEAVE A REPLY

Please enter your comment!
Please enter your name here

Trending Topics In India

Covid 19 India Updates

India in ”extremely comfortable position” in terms of oxygen availability: Health Ministry

New Delhi, Oct 20 (PTI) There has been no scarcity in oxygen supply in the last 10 months with the daily production capacity enhanced...

India in ”extremely comfortable position” in terms of oxygen availability: Health Ministry

New Delhi, Oct 20 (PTI) There has been no scarcity in oxygen supply in the last 10 months with the daily production capacity enhanced...

Virus can hit recovered Covid patients once antibodies start depleting: ICMR

New Delhi, Oct 20 (IANS) Patients who have recovered from Covid-19 can again get infected by the virus once the antibodies of the viral...

Covid to reduce profits of hospitals by 35-40% this fiscal: Crisil

Mumbai, Oct 20 (IANS) Postponement of elective surgeries, revenue loss from the highly profitable medical tourism segment, and increasing safety and sanitisation costs amid...

‘India can become global PPE hub, more R&D efforts needed’

New Delhi, Oct 18 (IANS) Within six to seven months, India has become a major manufacturer of personal protective equipment (PPE) kits and even...

Bharat Biotech & Washington Univ developing nasal vax for Covid: Minister

New Delhi, Oct 18 (IANS) Union Health Minister Harsh Vardhan on Sunday informed that Bharat Biotech will develop an intranasal vaccine for Sars-CoV-2, the...

Trending News In India

Gadkari lays foundation for India’s first multi-modal logistic park in Assam

Guwahati, Oct 20 (IANS) Indias first Rs 694 crore international Multi-Modal Logistic Park (MMLP) would be set up at Jogighopa in western Assam under...

India at the doorstep of revival: RBI Governor

New Delhi, Oct 22 (IANS): Reserve Bank of India (RBI) Governor Shaktikanta Das said on Wednesday that India is at the doorstep of a...

India moving rapidly towards indigenously-made supercomputers

New Delhi, Oct 22 (IANS) India is fast expanding its supercomputer facilities and developing the capacity to manufacture its own supercomputers in the country,...

Now coal demand expected to rise in festive season, say Ind-Ra

New Delhi, Oct 21 (IANS) Coal demand is expected to pick up on a year-on-year basis as the end-user industries ramp-up capacity utilisations during...

Cabinet okays MoU between India and Nigeria on space cooperation

New Delhi, Oct 21 (IANS): The Union Cabinet chaired by Prime Minister Narendra Modi was on Wednesday apprised of a Memorandum of Understanding (MoU) signed...

ECI sets up panel to examine expenditure limit for candidates

New Delhi, Oct 21 (IANS) In view of upcoming elections, the Election Commission has constituted a two-member committee to examine the issues concerning expenditure limit...

Trending Showbiz

We still have much work to do in India market: Netflix

New Delhi, Oct 21 (IANS) Content streaming giant Netflix has reported slow growth in its third quarter (July-September period) despite the social distancing times,...

Vishal Bhardwaj to adapt Agatha Christie stories as film franchise

Mumbai, Oct 20 (IANS) Filmmaker Vishal Bhardwaj is developing a film franchise based on the works of famed author Agatha Christie. The series will...

‘Laxmmi Bomb’ highlights transgender community, says director Raghava Lawrence

Mumbai: The horror comedy Laxmmi Bomb, starring Akshay Kumar, is all set to release on November 9, and director Raghava Lawrence, who makes his Bollywood...

BARC India remains committed to its stakeholders

Mumbai, Oct 18 (IANS) Broadcast Audience Research Council (BARC) India on Saturday released a statement underlining the fact that the body aimed at ensuring...

Cinemas reopen: Day one sees dull start, but trade experts positive

BY NATALIA NINGTHOUJAM (IANS) Cinemas in several states including Delhi-NCR opened doors to patrons on Friday after seven months the turnout everywhere has been...

Will thwart all attempts to finish off Bollywood: Thackeray

Mumbai, Oct 16 (IANS) Breaking his silence, Maharashtra Chief Minister Uddhav Thackeray on Thursday made it clear that he would resist any moves to finish off...

Trending Sports

Dhawan’s record ton in vain as KXIP beat DC, stay float

Dubai, Oct 20 (IANS/GloFans) A resurgent Kings XI Punjab (KXIP) on Tuesday comprehensively defeated table toppers Delhi Capitals (DC) by five wickets, despite Shikhar Dhawan's...

This IPL CSK weren’t there, says Dhoni after loss to RR

Abu Dhabi, Oct 20 (IANS) Chennai Super Kings (CSK) captain Mahendra Singh Dhoni on Monday seemed resigned to his fate after a seven-wicket defeat...

Rajasthan win comfortably, stay afloat; Chennai pushed to brink

Abu Dhabi, Oct 19 (IANS) Former champions Rajasthan Royals (RR) gave themselves a new lease of life on Monday with a convincing seven-wicket win...

KXIP crowned kings after beating MI in 2nd Super Over

Dubai, Oct 19 (IANS/GloFans) In a most dramatic contest, comprising two Super Over deciders, Kings XI Punjab (KXIP) held their nerve to eke out a...

Dhawan’s maiden ton takes DC to five-wicket win over CSK

Sharjah, Oct 17 (IANS) Shikhar Dhawan scored his maiden T20 century while Axar Patel knocked off the required 17 runs off the last over...

ABD magic takes RCB to 7-wicket win over RR

Dubai, Oct 17 (IANS) Royal Challengers Bangalore (RCB) on Saturday beat Rajasthan Royals (RR) by seven wickets, thanks to an unbeaten 22-ball 55 from...

Latest Trending News In India

Jio revamps its made-in-India browser as JioPages

New Delhi, Oct 22 (IANS): Reliance Jio has revamped its made-in-India browser as JioPages, which supports eight Indian languages -- Hindi, Marathi, Tamil, Gujarati, Telugu,...

India at the doorstep of revival: RBI Governor

New Delhi, Oct 22 (IANS): Reserve Bank of India (RBI) Governor Shaktikanta Das said on Wednesday that India is at the doorstep of a...

India moving rapidly towards indigenously-made supercomputers

New Delhi, Oct 22 (IANS) India is fast expanding its supercomputer facilities and developing the capacity to manufacture its own supercomputers in the country,...

Now coal demand expected to rise in festive season, say Ind-Ra

New Delhi, Oct 21 (IANS) Coal demand is expected to pick up on a year-on-year basis as the end-user industries ramp-up capacity utilisations during...

Cabinet okays MoU between India and Nigeria on space cooperation

New Delhi, Oct 21 (IANS): The Union Cabinet chaired by Prime Minister Narendra Modi was on Wednesday apprised of a Memorandum of Understanding (MoU) signed...