New Delhi, July 9 :
Projecting India’s growth at 5.4-5.9 percent, the annual report card on the state of the country’s economy said price rise remained a cause for worry, while calling for a complete rehaul of the subsidy regime and increasing tax revenues.
The Economic Survey for 2013-14 tabled in parliament by Finance Minister Arun Jaitley Wednesday also said direct cash transfers is the right way to subsidise soil nutrients and that fuel prices must be market driven.
The survey, which was tabled a day ahead of the national budget for the current fiscal, also said the country will require a whopping $1 trillion investment in infrastructure over the next five years.
* Long-term external debt accounts for 78.2 percent of total external debt at end-December 2013 against 76.1 percent at end-March 2013. Long-term debt at end-December 2013 increased by $25.1 billion (8.1 percent) over the level at end-March 2013 while short-term debt declined by $4 billion (4.1 percent), reflecting a fall in imports
* Wholesale Price Index inflation fell to three-year low of 5.98 percent during 2013-14
* Consumer Price Inflation also showed signs of moderation
* Both Wholesale and Consumer Price Inflation expected to go downward
* Fiscal consolidations remains imperative for the economy
* Fiscal consolidation recommended through higher tax-GDP ratio then merely reducing the expenditure-GDP ratio
* Proactive policy action helped government remain in fiscal consolidation mode in 2013-14
* Fiscal deficit for 2013-14 contained at 4.5 percent of GDP
* Total outstanding liabilities of the central and state governments decline as a proportion of GDP
* India’s balance-of-payments position improved dramatically in 2013-14 with the current account deficit (CAD) at $32.4 billion (1.7 percent of GDP) as against $88.2 billion (4.7 percent of GDP) in 2012-13
* The annual average exchange rate of the rupee went up from 47.92 per dollar in 2011-12 to Rs.54.41 per dollar in 2012-13 and further to Rs.60.50 per dollar in 2013-14
* India’s foreign exchange reserves increased from $292 billion at end March 2013 to $304.2 billion at end March, 2014