Finance Minister Arun Jaitley on Wednesday said he was hopeful Parliament will be able to pass the long-awaited Goods and Services Tax (GST) Bill when the Budget session reassembles on April 20.
“Historic opportunity has revisited us and we have to use it to the maximum,” Jaitley said addressing investors at 'The Growth Net' conference.
Jaitley also nudged the Reserve Bank of India (RBI) to cut interest rate ahead of its monetary policy review on April 7 saying India needed lower interest rates for high growth.
More cuts in future
“I am quite certain we will see more cuts in future. But as of today if you ask me how much and when, it is in the domain of the RBI and I will leave it to them,” he said.
“I mentioned a few days ago in the presence of the RBI Governor that we do not pressurise the banks to cut rates. But we do expect the banks after assessing the situation to act in a prudent manner. Our banks have been by and large responsible. And I am quite certain we will see more cuts in future,” he said. To a question on the value of rupee, the Finance Minister said the government would “like the real value of the currency to reflect itself”.
Kerala FM to be GST panel head
Kerala Finance Minister K M Mani was on Wednesday appointed the new Chairman of the Empowered Committee of state Finance Ministers on the Goods and Services Tax.
The decision to appoint Mani was taken by Union Finance Minister Arun Jaitley after wide ranging consultations with all states and the Union territories.
Mani replaces Jammu and Kashmir Finance Minister Abdul Rahim Rather,who quit from the post following defeat of National Conference in assembly elections. The election of the new chairman assumes significance as the Narendra Modi government is keen to roll out Goods and Services Tax from April 1, 2016. Jaitley wants to pass in the GST Bill in current Budget session after it re-assembles on April 20.
“The RBI is effectively handling that situation and therefore I do not think the government should be unusually worried if the movement takes place a little higher or little lower than that. We leave it at that,” he said.
Exports would benefit if the currency losses a little, but other areas like essential imports including oil become costlier, he said.
Published 25 March 2015, 18:55 IST