Government in process of changing India's economic environment: Jaitley
New Delhi: Acknowledging the dip in the country's growth rate, Finance Minister Arun Jaitley on Monday said that the government was in the process of undertaking measures to change the "environment" and provide a boost to the Indian economy.
"The growth rate has been fine except in the last quarter, where there has been a little dip in the GDP growth rate. During April-June, services sector improved, but manufacturing brought it (growth) down," he told reporters at the ongoing BJP National Executive Meet.
Pulled down by sluggish manufacturing, growth in the Indian economy in the first quarter of this fiscal fell to 5.7 per cent, clocking the lowest GDP growth rate since Prime Minister Narendra Modi assumed office in May 2014.
"Whatever steps are required to change the environment we are certainly in the process of addressing them," Jaitley added.
The Finance Minister said that the "environment" was a result of three factors.
"This (low growth rate is due to three factors - (low) investment by private sector, which is also related to the ability of banks to support growth. Since GST (Goods and Service Tax) was announced to be rolled out from July 1, de-stocking took place in June and July. It resulted in higher sales, so services in fact went up," he said.
The government is said to be considering a financial stimulus package following a sharp fall in latest key macro indicators such as the gross domestic product (GDP) and industrial production as well as a widening current account deficit.
On September 19, Jaitley had chaired a high-level meeting to review the economic situation and possibly discuss a financial stimulus package as the remedy for falling growth rate. The meeting was attended by Railway Minister Piyush Goyal, Commerce Minister Suresh Prabhu, Chief Economic Advisor Arvind Subramanian and Secretaries in the Finance Ministry -- Ashok Lavasa, Subhash Chandra Garg, Hasmukh Adhia, Rajiv Kumar and Neeraj Kumar Gupta.
Those at receiving end of anti-graft drive are uneasy: Jaitley
New Delhi:Finance Minister Arun Jaitley on Monday hit out at the opposition Congress for its criticism of the government on demonetisation, saying those at the receiving end of the war against corruption would be "uneasy" with the steps being taken.
"It is obvious that any action against corruption and black money will never be supported by that political party (Congress). In three years, our government has taken steps after steps. Obviously those who are at the receiving end of the steps are going to be uneasy about the steps we are taking. I don't expect them to support our steps," he said at a media briefing on the sidelines of the BJP National Executive meeting here.
Jaitley was replying to a question about former Finance Minister P. Chidambaram's tweet that the BJP National Executive's support to demonetisation is utter contempt of public opinion.
"I completely disagree with them (Chidambaram's views). Our analysis of demonetisation is completely different from theirs," he said.
Jaitley lashed out at the Congress saying when it was in power between 2004 and 2014 it had not taken a single step against black money.
"Corruption and elimination of black money was never part of the political and economic thinking of the UPA."
Shah slams Rahul Gandhi over politics of dynasty, appeasement
New Delhi:Coming down heavily on Congress Vice President Rahul Gandhi, BJP President Amit Shah on Monday said his party totally opposes politics of dynasty and appeasement and only believed in politics of performance.