Finance Minister Arun Jaitley has called for doing away with ‘obstructionism as ideology’ as this will block the ‘historical’ opportunity to grow.
Replying to the debate on the General Budget on Tuesday, he said the nation needs investment, which in turn will create jobs and more money through taxes for the Government. “Only then the Government will have more money to spend on MGNREGA,” he said. Justifying his proposal towards cutting corporate tax and doing away with exemptions, he said this will help in competing for investment, both domestic and international.
He announced that the economy is estimated to grow at 7.4 per cent during the current fiscal, which is likely to go above 8 per cent in the next fiscal. The current account deficit (CAD) is expected to be below 1 per cent in the next fiscal, while foreign exchange is at a record high. He also claimed that inflation is under control.
Talking about the strategy for growth, he listed moderation of interest rates and better infrastructure such as power at cheaper cost besides attracting investment. He said the fiscal deficit target has been relaxed only to set a ‘balance between growth and fiscal consolidation.’ He said the fiscal deficit target of 3.9 per cent as against 3.6 per cent aims to get Rs 70,000 crore additional money for infrastructure.