New Delhi: Finance Minister Nirmala Sitharaman in Lok Sabha replied to the questions raised by opposition on price rise and added that despite the global pandemic, inflation in India has been held below 7%.
Congress walked out while the Finance Minister was answering the question raised by the opposition. Congress leader Manish Tewari added that “the Finance Minister’s reply was disappointing. The attitude of the government is that there is no inflation in the country, people are not suffering. Everything is hunky dory.”
Here are the key takeaways:
- FM Nirmala Sitharaman said that India continues to be the “fastest growing economy”.
- The Minister added that “several agencies have ranked India’s economy high”.
- She further added that in July 2022, we garnered the second highest level ever since the introduction of GST – which is ₹1.49 Lakh Crores. For the sixth month consecutively the collection rate is above ₹1.4 Lakh crore.
- She further added that “There is zero probability of India slipping into recession or stagflation.”
- She added that despite “pandemic, Russia-Ukraine (war), even today the largest supply components in China are under lockdown…in spite of that, we have held inflation well within 7% or below.”
- Speaking about comments made by Raghuram Rajan she added that “RBI has done a good job in increasing foreign exchange reserves in India, insulating India from problems being faced by neighbouring countries such as Pakistan & Sri Lanka”.
- Raghuram Rajan has further differentiated India from its “vulnerable neighbours” and added that “New Delhi is less indebted”.
- According to IMF data, the Minister added that the general debt to GDP ratio is 86.9 percent including the Centre and the state.
- She further clarified that the GST council includes members from every party. The efforts were made by the government to keep check on leakage.
- Talking about GST on various items she clarified that there is no GST on pen, pencil, loose milk or crematorium. There is no GST on crematorium, funeral, burial or on mortuary services.
(With Agency Inputs)