Sri Narendra Modi gives high priority to job opportunity and economic growth. He wants the economic growth of India. He is travelling in foreign countries to arrange for financial support. In his last meeting, he has clearly highlighted “Vikas, Vikas, Vikas, jobs, jobs, jobs.” It is a great achievement for a prime minister for visiting countries for the first time for economic development of India.

PM, Modi discussed the scams and remarked that we should not waste our valuable resources for a few people. He highlighted that his government is working honestly for the development of the country. Our government has proved itself in terms of efficiency and transparency.

 

The various factors of the Indian economy like GDP growth, industrial growth, fiscal deficit, current account deficit, trade deficit, tax collection, foreign direct investment and FII inflows have been discussed here.

The agriculture and manufacturing sector showed a slow growth rate of 5.3 percent, but in the first quarter the growth rate was 5.7 percentage.

The GDP growth in the last year was 4.8 percent, but at the first half of the financial year, April to September, it is found to be 5.5 percent as against 4.9 percent in the last year. The economic growth showed a range of 5.4-5.9 percent in the financial year at present. In the last 2 years, the growth has stayed at 2%. IN the last 2 financial years. The growth has remained below 5 percent.

The industrial growth phase showed recovery of the economy. About an average growth of 3.8 percent was seen where growth was seen the best in 5 months. The business related to capital goods is quite profitable. The Index of Industrial Production measures factory output were declined by the 1.3% of the population in 2013. On 2014-15 fiscal, in April – November, IIP grew 2.2%, but it was 1% in the last financial year.

During April-November of 2014-15, IIP grew 2.2 percent, as opposed to 0.1 percent in the same period of last fiscal. The fiscal deficit of the central government was at Rs 5.25 lakh crore as of November-end almost touched 99 percent of the full-year target of Rs 5.31 lakh crore. In April November 2014-15, the fiscal deficit was 98.9%. The government took steps leading to lower GDP and they had taken special initiatives.

The government wants to restrict the fiscal deficit at 4.1 percent of the GDP. It had shown lowest GDP in the current financial year. It is quite low in the last seven years, and there are steps of improving it.

The difference between government expenditure and revenue is the fiscal deficit and it was 93.9 percent of that particular year’s target. Generally, we record a current account deficit every quarter for the last seven years. The current account balance is going to be a surplus of 1.5 percent of GDP in Q1 of 2015.

The trade deficit of India showed significant deadline. It was decided to we will decline the 10-month low of USD 9.43 billion in December. There are problems like falling imports due to slump in crude prices though exports too have come down.

About 44% trade deficit was found in December. It was 44 percent compared to November. In February 2014, there was a low trade balance of USD 8.13 billion.

The trade deficit in the month of April-December was USD 110 billion. About 4.8% decline in the import bill. USD 34.8 billion was calculated during the month. About USD 36.6 billion from December 2013showed rise in the trade balance.

During April-December, there was the import of USD 351.2 billion. But in the previous year, India had achieved USD 338.9 billion of business and it led to a growth of 3.63 percent. There is a fall in export by 3.8 percent and the amount received was USD 25.4 billion. The country had spent USD 26.4 billion on outbound shipments in the same month last year.

There was a rise in exports in April-December to USD 241.15 billion as compared to USD 231.8 billion in the last fiscal. There was an economic growth of 4.02 percent.

In the tax collection during the current fiscal year, the government showed a budget of collecting over Rs 13.6 lakh crore in the form of tax revenue. In the direct taxes, there was a 16 percent growth, but a 20 per cent growth in indirect taxes to fulfill the target.

The direct tax collection got increased in the first nine months of the present fiscal year. It rose by 12.93 percent and the amount reached was Rs 5.46 lakh.

As per the Budget 2014-15, the revenue collected from the direct tax was Rs 7.36 lakh crore from the current fiscal year.

The government has become successful in collecting Rs 3.77 lakh crore. In terms of percentage, it is 60.6 percent of the budget target for an indirect tax within December 2014. It rose by 6.7 percent over the corresponding period from the previous year.

The great achievement of Modi government is the rise in foreign direct investment into India rose by 25 percent and the amount of investment will be USD 17.35 billion in the April-October period of the current financial year.

We are quite happy about the performance of Sri Narendra Modi and the country had developed under his leadership. We wish that in the coming 4 years, his ideas will bring prosperity and peace with the neighboring countries of India. His new projects are generating jobs and it will definitely boost the economy.

Contributor: Pratanu Banerjeeg5

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