GDP to expand at 9.5 per cent as growth impulses strong: RBI Governor

MUMBAI: Stating that growth impulses and the fast-moving economic indicators are strong, Reserve Bank Governor Shaktikanta Das on Wednesday exuded confidence in the economy clipping at the projected 9.5 per cent growth this fiscal.

Crediting the many measures taken by the government and the RBI for the faster-than-expected recovery so far, Das said the fiscal and taxation reforms especially have played key role in driving growth and reviving confidence.

These measures will continue drive growth going forward.

But as the monetary measures have almost reached its limits, going forward the government has to be in the forefront to drive faster growth and the central bank can continue to support to revive the economy ravaged by the pandemic.

Citing the slew of measures the government has taken since the pandemic struck in March 2020, the governor specifically mentioned tax cuts on fuels, tax resolution for the telecom sector, annulling of the retro tax legislation, sale of Air India, plans to sell some of the public sector banks and PLI scheme as the major reforms and growth-drivers bearing fruits now.

“Though soaring global crude prices and many geopolitical issues along with other global headwinds are challenges to growth, the overall growth outlook is very positive for us. I am very confident that our GDP will comfortably grow by 9.5 per cent this fiscal because all growth impulses are very strong, and the fast-moving indicators are stronger. Our assessment is that we are on a path of reaching the 9.5 per cent growth comfortably,” Das said at a function organised by financial daily Business Standard here this evening.