India will grow at 7% plus next fiscal on Budget measures: Das

India will grow at 7% plus next fiscal on Budget measures: Das

India will be able to pull off a 7 per cent plus growth rate next fiscal as the Budget for 2017-18 has come up with several measures to provide a fillip to various sectors, Economic Affairs Secretary Shaktikanta Das today said.

"Our sense is that the kind of momentum the Budget has given in various sectors, we will be able to reach a growth of 7 per cent plus in the next year," Das told reporters.

"Obviously now, as far as the government is concerned, the agenda for 2017-18 have been very clearly spelt out in the Budget speech of the finance minister. And the government's focus is now on implementing all the Budget announcements," he added.

The secretary's statement comes hours after RBI Governor Urjit Patel announced a cut in the growth forecast to 6.9 per cent for the current fiscal, from 7.1 per cent estimated earlier, even as he said the economy will bounce back to 7.4 per cent next fiscal.

In its previous policy review in December, the central bank had lowered the GDP growth forecast to 7.1 per cent from 7.6 per cent. On RBI's monetary policy, Das said, "The monetary policy committee has unanimously recommended retention of the current rates of interest."

Das hoped that banks will step up lending with focus on SMEs, housing and individual loans. "One would now expect the banks to step up their lending to various sectors of the economy and also focus on individual loans, i.e., housing loans, consumption loans as well as meeting the requirements of SMEs, other corporates and other business entities," he said.

"These are the kinds of things which will give momentum to growth and the expectation that the finance minister has also projected in the Budget that the growth should revive."

The economic affairs secretary noted that after the exchange of old notes, banks have already started reducing the rates, which have been reduced "considerably".

In the Budget also, Finance Minister Arun Jaitley has announced several measures to give a boost to the housing sector in general and affordable housing in particular.

Das also inaugurated a Solar Roof Top Power Plant in Ranchi and said that solar power would be provided in 230 villages which are not linked to the grid.

The goal of the government is to generate 2650 MW solar energy by 2019-20, the Chief Minister said. So far 3830 MW capacity of solar energy panels were installed on roof tops on 68 government buildings, an official release said.

Das said that Prime Minister Narendra Modi would soon lay foundation stone for the 4000 MW thermal power station at Patratu and a bridge over the Ganga in Sahibganj.

He said Ranchi would be made a solar city and a new policy has already come. Under this policy, any individual can set up roof top solar power plant and supply to the grid through net metre. Those having barren land could do the same there and could it to the grid to earn money, Das said.

Jharkhand had remained in darkness despite having 40 per cent of country's coal reserve and the curse was being eradicated, the chief minister said.

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