NEW DELHI: Demonetisation and misguided GST implementation caused a lack of Rs 4.8 lakh crore to the economy, West Bengal finance minister Amit Mitra said on Friday. He also criticised the Centre’s initiative to extend as much as Rs 1 crore mortgage to micro, small and medium enterprises in 59-minutes, pronouncing it used to be just a gimmick and he has no longer come throughout someone who has won a mortgage through the portal.
As a results of the misguided implementation of GST, the states earned Rs 78,929 crore much less earnings since July 2017, which has been compensated by means of the Centre as in keeping with reimbursement regulation of the new indirect tax regime, he said. “The govt at Centre believes in chest thumping, hit and miss determination making, disastrous determination making and failure determination making ... There is an financial uncertainty in the minds of small companies,” Mitra said addressing a press conference on the India International Trade Fair (IITF) here.
Speaking about demonetisation of high-value foreign money notes on November 8, 2016, Mitra said it has hit farmers and unorganised sector of the economy badly since their industry mode used to be money dependent.
He said even developed nations like Japan and Switzerland have higher money to GDP ratio than India.
“How much GDP has been misplaced to India because of demonetisation and GST? It is Rs 4.8 lakh crore,” Mitra said, he said that financial enlargement has bogged down from 2015-16 onwards and to reach that high degree of enlargement India would want at least four years.
India’s GDP enlargement declined from 8.2% in 2015-16 to 7.1% in 2016-17 and additional to 6.7% in 2017-18. The financial enlargement is anticipated to beef up to 7.4% in the current fiscal which results in March 2019.
As a results of the misguided implementation of GST, the states earned Rs 78,929 crore much less earnings since July 2017, which has been compensated by means of the Centre as in keeping with reimbursement regulation of the new indirect tax regime, he said. “The govt at Centre believes in chest thumping, hit and miss determination making, disastrous determination making and failure determination making ... There is an financial uncertainty in the minds of small companies,” Mitra said addressing a press conference on the India International Trade Fair (IITF) here.
Speaking about demonetisation of high-value foreign money notes on November 8, 2016, Mitra said it has hit farmers and unorganised sector of the economy badly since their industry mode used to be money dependent.
He said even developed nations like Japan and Switzerland have higher money to GDP ratio than India.
“How much GDP has been misplaced to India because of demonetisation and GST? It is Rs 4.8 lakh crore,” Mitra said, he said that financial enlargement has bogged down from 2015-16 onwards and to reach that high degree of enlargement India would want at least four years.
India’s GDP enlargement declined from 8.2% in 2015-16 to 7.1% in 2016-17 and additional to 6.7% in 2017-18. The financial enlargement is anticipated to beef up to 7.4% in the current fiscal which results in March 2019.
'Note ban, GST cost economy Rs 4.8 lakh crore'
!['Note ban, GST cost economy Rs 4.8 lakh crore']()
Reviewed by Kailash
on
November 24, 2018
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