In their pre-Budget expectation list, most industry experts had expressed hope that the funding is not only hiked but also front-loaded as the deadline set for cleaning up of balance sheets is March 2017.
In an interview with CNBC-TV18‘s Shereen Bhan, the Chief Economic Advisor Arvind Subramanian says the important thing is that despite mixed economic cues, the government needs to continue with its agenda of reforms.
Below are the report's highlights in terms of progress made on infrastructure during the fiscal.
The Economic Survey said the government could sell off some PSUs to make additional investments in state-owned lenders, as a booster to the PSU banks grappling with bad asset quality.
The 2015-16 Macro-Economic Survey tabled in the Parliament on Friday, stated the need for consolidation, strategic divestment and the 4 R‘s namely recognition, recapitalisation, resolution and reform to resolve the stressed assets issues plaguing the Indian public sector banking system.
Also, while households can buy only 12 subsidised cylinders a year, they can buy an unlimited number of unsubsidised cylinders. However, these cylinders are still 30 per cent cheaper than commercial cylinders due to differential tax treatment of household and commercial LPG. So households can technically sell these to commercial establishments
The 50-share NSE Nifty started off March series on a positive note after losing 6 percent each in previous two series (January and February), up 59.15 points or 0.85 percent to 7029.75.
He says sticking to the fiscal consolidation target will be taken positively, adding he has always pitched for a rate cut and if the fiscal deficit target is achieved then the Reserve Bank will get more room to cut rates. He feels the process should begin with at least 50 basis points cut.
The central and state governments subsidise a wide range of products — including rice, wheat, pulses, sugar, kerosene, LPG, naphtha, water, electricity, fertiliser, iron ore, railways, among others — in order to make these affordable.
According to statement the government has given a power to banks to recover money from debt ridden promoters.
Meanwhile, the minister of state for finance Jayant Sinha said power has been given to banks to recover money from debt-ridden promoters
The government today tabled the Economic Survey 2016-17 in Parliament today.
Bank Nifty gained more than 1 percent after the government, in its Economic Survey 2016-17 says it has given power to banks to recover money from debt ridden promoters.
In line with consensus, Rajeev Malik, Senior Economist, CLSA also expects the Reserve bank of India (RBI) to oblige the market with a 25 basis points repo rate cut today.