India standardised for 7-8% growth: Jaitley
New Delhi, Nov. 30 (PTI): India has standardised itself for a 7-8 per cent growth in its economy on the back of improving macroeconomic fundamentals, finance minister Arun Jaitley said on Thursday.
”India has standardised itself ordinarily for a growth rate between 7 to 8 per cent,” Jaitley said, referring to the gross domestic product.
“If it slows down, it is more towards seven and if it paces up it is more towards eight per cent growth. It's already close to $2.5 trillion economy in terms of GDP,” he said.
He said the country has moved away from the era of double-digit inflation.
“Our statutorily fixed target is four per cent. We have been able to keep our current account deficit under control, and over the last few years India has had exemplary performance in terms of being able to bring down its fiscal deficit,” he said.
The net effect of all these is that India is getting closer to a situation where the country can spend what it earns, and borrows relatively less, he said.
”One of the great challenges which remained in India and that directly impinges on the creation of world-class infrastructure is that India was largely a tax non-compliant society,” he said.
The funding requirement for infrastructure is huge, he said, with the requirement projected at Rs 50 lakh crore over the next five years.
India has spent Rs 60 lakh crore in infrastructure in the decade up to 2017.