RBI Governor Shaktikanta Das highly appreciated the economic path of India, to be marked by continued GDP growth that is moving closer to 8%, supported by reforms touching on massive structural reforms, like the introduction of GST.
He was said to be speaking at the 188th AGM of Bombay Chamber of Commerce & Industry, where he noted that in the past three years, India had clocked an average growth of 8.3% and is currently projected at 7.2%. He added that the country has a very robust growth momentum and is likely to grow at 8% steadily in future.
With highlighting inflexion on capital expenditure from the private sector, Das expects some additional shave in economic expansion. He also stressed the fact that, amidst an economic slowdown happening globally, India made a good mix to contribute positively to global growth, adding that India at large added 18.5% to this rate in the last fiscal year, quite a considerate increase from the previous years.
Gus Das said structural reforms including GST, the Insolvency and Bankruptcy Code, Flexible Inflation Targeting, and other key initiatives are behind the growth story of India. He said GST brought simplicity in the tax regime and is one of the most important reforms done in the country since independence.
GST collections monthly had been stably holding between 1.5 to 1.7 lakh crore, suggesting this as an exemplar of success of the same. Das also predicted India's rise to the world's third-largest economy, up from its current fifth position.
