Ajay Bhushan Pandey, the finance secretary has recently confirmed that the government is working to offer an additional stimulus package for the Covid-hit Indian economy. However, he didn’t disclose a timeframe for the same.
In an interview, Mr. Ajay Bhushan Pandey said that the ministry and related departments are monitoring the present situation from all angles to get a better picture of different segments of the society and support them accordingly. It is also welcoming the suggestions from industry bodies, trade associations, other ministries and after considering them timely measures would be executed.
Mr. Ajay Bhushan Pandey also highlighted that the economy is recovering and moving towards sustained growth. He further added that the October GST collection is Rs 105,155 crore which is 10 per cent higher year-on-year for the corresponding month last year and in the month of September this year, the economy witnessed 4 per cent growth at Rs 95,480 crore in GST collections y-o-y.
“If we are able to maintain this growth for the next five months, then we can say that we can transition from deep negative zone to near-zero growth zone by March 2021. International Monetary Fund (IMF) has projected India’s GDP to contract 10.3 per cent this fiscal year, revised from its forecast of a 4.5 per cent decline in June,” he added.
He ruled out the possibility of any deductions in GST rates in near future due to the Covid pandemic, and said that it is wrong to consider that rate cut increases sales and the growth rate. Mr. Ajay Bhushan Pandey also assured that the country is now prepared to deal with the impact of the pandemic if it sees another wave, be it health-wise or medical infrastructure.