E-Paper
Economic Survey 2004-05: Highlights
Projecting a seven per cent growth in 2005-06, Government's pre-budget Economic Survey outlined reforms in tax and expenditure and labour laws as a priority in the Budget and favoured opening up of more sectors, including retail, to FDI to push up investment.
Projecting a seven per cent growth in 2005-06, Government's pre-budget Economic Survey outlined reforms in tax and expenditure and labour laws as a priority in the Budget and favoured opening up of more sectors, including retail, to FDI to push up investment.
Identifying agriculture, infrastructure and employment as areas for big-ticket public investment, the 2004-05 survey stressed the need for maintaining low interest and inflation rates and integrating the whole country towards a common market.
The survey, tabled in Parliament, was hard hitting on the fiscal situation of both the Centre and states and proposed major tax and expenditure reforms, cutting down wasteful subsidies to reduce fiscal and revenue deficits.
Highlights
* GDP projected at 6.9 per cent
* 7-8 per cent GDP growth projected for 2005-06
* Agri and allied sector to grow at meagre 1.1 per cent
* Inflation pegged at 6.4 per cent
* Forex reserves at $128.91 billion
* Exports growth at 25.6 per cent
* Exports value stands at Rs 2,74,313 crore
* Negative growth in foodgrain production at 2.8 per cent
* Imports growth at 32.1 per cent
* Total imports value stand at Rs 3,76,815 crore
* Industrial growth soars at 8.4 per cent
* ASEAN, China, Japan and Korea account for 19.9 per cent trade
* EU (19 per cent) and North America (12.9 per cent) at 2nd and 3rd spot
* External debt goes down to 17.8 per cent of GDP
* Liquidity management a concern, overhang at Rs 81,000 cr
* Food credit grows by 15.2 per cent
* India heading to equitable local/STD rates
* Higher securities investment reflect strong outlook of India
* Advocates duty cuts to ASEAN level
* BSNL, MTNL market share take a dip
* Deposit rates of five major banks up by 25 basis points
* Housing loans rate go up
* Prime lending rates lower by 25 to 50 basis points
* Agriculture credit up by 30 per cent
* Gross bank credit marches ahead by 19.9 per cent
* Fiscal deficit at 4.4 per cent of GDP
* Revenue deficit brought down to 2.5 per cent of GDP
* States swap high cost Rs 92,444 cr loans with Centre
* Overall public issues grew five times to Rs 35,859 cr
* Tele density grows at 6.6 per cent
* Advocates limited Govt role in infrastructure
* Gross domestic saving grew by 28.1 per cent
* Gross domestic investment shots by 26.3 per cent
* Auto and auto components sales grew by 20 per cent
* Electronics and IT jumped at 18.2 per cent
* Steel leaped ahead by 4 per cent
* Cement production higher by 6.81 per cent
* Core industries registered lower average of 5.4 per cent
* Railways traffic moved forward at 7.7 per cent
* Cargo handled at sea ports posted 11.1 per cent growth
* Cargo handled at airports zoomed 18.3 per cent
* Air passenger traffic flew at 21.8 per cent
* Human Development index improved to 0.595
* National Food for Work Programme launched in 150 districts
* National Rural Employment Guarantee Bill introduced
* Labour reforms need for increasing exports
* Infrastructural, procedural bottlenecks growth hurdles
