Economic growth at 7.5 per cent in 2017-18 encouraging, States need to focus on their development models: PHD Chamber

While appreciating the balanced economic survey and reform measures, Mr. Gopal Jiwarajka, President, PHD Chamber of Commerce and Industry said that despite the global headwinds, economy holds immense growth potential to grow more than 8 percent in the next couple of years.

It is inspiring to know from the Economic Survey 2016-17 that demonetisation has the potential to generate long-term benefits in terms of reduced corruption, greater digitalization of the economy, increased flows of financial savings, and greater formalization of the economy, all of which could eventually lead to higher GDP growth, better tax compliance and greater tax revenues, said Mr. Jiwarajka.

However, as the Economic Survey observes that despite growing rapidly on average, there are signs of growing inequality among the Indian States. I believe that best practices of the successful states would help the lagging states to recover and match with the socio-economic developments of the country, he said.

We appreciate the landmark reform related to overhauling of the bankruptcy laws so that the “exit” problem that pervades the Indian economy can be addressed effectively and expeditiously, said Mr. Jiwarajka.

We are proud of our economy as it is among the world’s fastest growing major economies, underpinned by a stable macro-economy with declining inflation and improving fiscal and external balances and enacting major structural reforms, he said.

However, on the international front, Brexit and the US regime change may herald a tectonic shift, forebodingly laden with darker possibilities for the global, and even the Indian economy for the short run. But, I believe that the Indian economy is resilient to face any global headwinds, going forward, he said.

As economic survey provides road map for the implementation of GST, it will create a common market in India, improve tax compliance and governance, boost investment and growth and indicate that the double digit growth trajectory is not far away, said Mr. Jiwarajka.

We appreciate Government initiatives to facilitate investment and ease of doing business in the country by introducing online application for Industrial License and Industrial Entrepreneur Memorandum through the eBiz website 24x7 for entrepreneurs, he added

Overall, state of the Indian economy is inspiring and we look forward to a dynamic budget announcement to pave way for strong and sustainable growth environment with a greater ease of doing business, said Mr. Gopal Jiwarajka.