- world economy: advanced and emerging economies growths are at lower rate. spill overs of unconventional monetary policies of advanced countries shows negative impact on developing countries economy.
- indian economy : beacon of hope
India projected growth 7.6 % for the year 2015 /16
3. macroeconomic policy : We are committed to the medium term fiscal consolidation plan where we plan to bring down the Fiscal Deficit from 3.9% in 2015-16 to 3.5% in 2016-17. Likewise, the current account remains sustainable in the range of 1.0-1.5% in 2015-16, and may further consolidate during the current fiscal year. Inflation for 2015-16 fiscal is expected to be around 5.5 % and will further decline to less than 5%.
4.tax reforms : reduce of corporate tax (30% to 25% / 4years)
5. strctural reforms and intiatives :
- massive inclusive programme.
- statutory backing aadhar / (reduce leakeges)
- The ‘Digital India’ program aims at enhancing digital infrastructure, literacy and delivery of services.
- The ‘Skill India’ program is being promoted to offer skills based training to youth.
- A credit delivery program for micro and small businesses – has been introduced through a specially created vehicle, MUDRA bank
- To save farmers from losses due to crop failures, a new crop insurance program has been announced with attractive premium rates
6. IMF role : The Fund is not only a near-universal safety net but also a knowledge resource. However, it needs to be further strengthened by increased access to resources to enable it to play an effective role in fostering global economic and financial stability. We believe that all the three potential components – self-insurance, bilateral/plurilateral agreements and the multilateral agreement represented by the IMF – are legitimate and complementary components of a robust and fair Global Financial Safety Net (GFSN).India’s quota in IMF would rise to 2.7 per cent, from the existing 2.44 per cent. Also, the voting share of India in IMF would increase to 2.6 per cent from 2.34 per cent.