New Delhi: Following are the highlights of Economic Survey 2016-17 tabled in Parliament today:
» GDP growth for next fiscal pegged at 6.75-7.5 percent
» Growth this fiscal to be 6.5 percent
» Prescribes cut in individual I-T rates, real estate stamp duties
» Income Tax net could be widened gradually by encompassing all high income earners
» Time table for cutting corporate tax should be accelerated
» Tax administration could be improved to reduce discretion and improve accountability
» Growth to return to normal as new currency comes in circulation
» Demonetization to affect growth rate by 0.25-0.5 pc, but to have long-term benefits
» GST, other structural reforms should take the trend growth rate to 8-10 pc
» Fiscal windfall likely from Pradhan Mantri Garib Kalyan Yojana, low oil price
» Farm sector to grow at 4.1 percent this fiscal, up from 1.2 percent last year
» Fiscal gains from GST will take time to realize
» Demonetization may affect supplies of certain agricultural products like sugar, milk, potatoes and onions
» Growth rate of industrial sector to moderate to 5.2 percent this fiscal, from 7.4 percent last fiscal
» Efforts to collect taxes on disclosed and undisclosed wealth should not lead to tax harassment
» Universal Basic Income Scheme is an alternative to plethora of state subsidies for poverty alleviation.
» Demonetization should be followed up with fast and demand-driven remonetization, tax reforms, GST and lower taxes
» These would allow in returning to trend growth in 2017-18, making India the fastest-growing major economy
» Middle class to get affordable housing due to fall in real estate prices
» Remonetization to eliminate cash crunch by April 2017
» Balance sheet problem of over-leveraged companies and bad-loan-encumbered banks has continued to fester
» A centralized public sector asset rehabilitation agency needs to look after the largest, most difficult cases and make politically tough decisions to reduce debt
» Addressing the twin balance sheet problem will be vital
» Suggests incentivising states for good fiscal performance
» Demographic dividend to peak in next five years
» Fiscal activism embraced by advanced economies not relevant for India
» Swachh Bharat to promote a broader fundamental right to privacy for women
» Service sector estimated to grow at 8.9 percent in 2016-17
