Highlights of Economic Survey

The highlights of the Economic Survey 2007-08 presented by Finance Minister P Chidambaram in the Lok Sabha.

The highlights of the Economic Survey 2007-08 presented by Finance Minister P. Chidamabaram in the Lok Sabha on Thursday:

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Indian economy to top $1 trillion this fiscal at market exchange rate

Economy projected to grow 8.7 per cent in 2007-08

Increased activity at stock markets, key indices giving returns of around 38 per cent

Domestic investment and savings drive growth

Inflation projected to decline to 4.1 per cent

Fiscal deficit to decline to 3.3 per cent

Revenue deficit to decline to 1.5 per cent

Gross tax GDP ratio to rise to 11.8 per cent

Revenue expenditure grows 17 percent, higher than target of 5.4 per cent

Concern: infrastructure constraints

Concern: slowdown in consumer goods sector

Concern: loss of dynamism in agriculture and allied sectors

Fundamentals continue to inspire confidence

Investment climate full of optimism

Concern: Rupee appreciation

100 per cent foreign direct investment (FDI) in home appliances, rural agricultural banks

51 per cent FDI in rural health

Some FDI in retail trade

Concern: Labour force growing faster than employment growth

Challenge: Maintaining 9 per cent GDP growth