FM Arun Jaitley today said despite the slowdown in 2016-17, as per the IMF, India was the fastest growing major economy in 2016 and second fastest growing major economy in 2017 in the world.
In a written reply to the Lok Sabha, Mr Jaitley said the government has taken various initiatives to boost the growth of the economy which include fillip to manufacturing, concrete measures for transport and power sectors as well as other urban and rural infrastructure and special package for textile industry.
The minister said government had also announced various measures in the budget 2017-18 to promote growth in the economy which among others, include push to infrastructure development by giving infrastructure status to affordable housing, higher allocation to highway construction and focus on coastal connectivity.
Mr Jaitley informed the House that the government has launched a phased programme for bank recapitalization. He said this entails infusion of capital to the public sector banks that is expected to encourage banks to enhance lending.
Mr Jaitley said the other growth promotion measures include lower income tax for companies with annual turnover up to 50 crore rupees and further measures to improve the ease of doing business and a major push to digital economy.
The minister stressed that the introduction of GST has provided a significant opportunity to improve growth momentum by reducing barriers to trade, business and related economic activities.>