Eco Survey 2021
View: Survey bats for countercyclical fiscal policyFor all the hardships that year 2020 had, the Economic Survey 2020-21 is mostly on expected lines. The Part II of the Survey presents the economic assessment of the year 2020-21.- Lockdown saved more than 100,000 lives claims Economic SurveyUttar Pradesh, Gujarat and Bihar restricted the case spread the best; Kerala, Telangana and Andhra Pradesh saved the most lives; Maharashtra under-performed the most in restricting the spread of cases and in saving lives.
- Ratings are moody, not fair; poor, not standard: Economic SurveyArguing that a sovereign rating primarily reflects a country’s willingness and ability to repay its debt, the Survey said that India’s ratings are "unfair" because it has "zero sovereign default history".
- Economic Survey bats for big expansion of govt spendingThe economy had been slowing even before the pandemic: growth was 6.5% in 2018-19 and 4% in 2019-20. The pandemic shrank the economy by 7.7% in 2020-21.
- IBC has changed debtor-creditor dynamicsThe Insolvency and Bankruptcy Code has hence brought about significant behavioural changes among the creditors and debtors thereby redefining debtor-creditor relationship.
- Ethical wealth creation is way forward: Economic Survey“Given India’s stage of development, India must continue to focus on economic growth to lift the poor out of poverty by expanding the overall pie,” the Survey said. This, it said, will enable redistribution since economic growth and inequality converge in terms of their effects on socio-economic indicators in India.
- Growth Gyaan: Tips on raising women’s participation in workforce, and how digitization may reduce inequalities in educationBesides, non-discriminatory practices at the workplace like pay and career progression are needed to help draw more females to join the labour force. Female labour force participation stood at 26.5% in 2018-19 compared to 80.3% for males.
- Recovery play: Economy will take two years to surpass pre-pandemic levelsFollowing a strong 10-12% rebound in FY22, survey looks ahead assuming a 6.5% rise in FY23 and 7% GDP growth in FY24
- India’s economic recovery like cricket team’s performance down under: CEAIndia’s V-shaped recovery was like the Indian cricket team’s performance in Australia which bounced from an all-time low score of 36 runs to clinch the four-match Test series 2-1.
- Fiscal push or reforms: What should it be? Fine print holds cluesImportantly, and perhaps more so after the pandemic, it calls for increasing investment in health infrastructure, by boosting public spending from 1% of GDP currently to 2.5-3.0% of GDP, along with the setting up of a sectoral regulator in light of the market failures due to information asymmetry.
- Economic Survey: Healthcare needs a shot of fundsIt observed that India has one of the highest levels of OOPE in the world, contributing directly to the high incidence of catastrophic expenditures and poverty.
- Staying on track amid a pandemic, says Economic Adviser Rajiv MishraThe SOE describes the policy dilemma of lives versus livelihoods faced globally at the beginning of the pandemic forcing countries to choose between the two. Deploying the containment strategy India initially chose lives but soon enough livelihoods as well once the system to handle the pandemic was in place to hasten the unlocking of the economy.
- Economic Survey 2021: Covid fight on cover, structural change insideBreaking with years of tradition, Part 1 is devoted to key conceptual and policy issues – how India fought covid, the debt/GDP debate, the “unfairness” of Western credit rating agencies, inequality, loan forbearance, innovation, Ayushman Bharat and constructing a Bare Necessities Index.
- All hands need to be on deck to shake off effects of Covid-19: Sajjid Z Chinoy, JP MorganFiscal deficits will bulge all over the world, with the IMF forecasting emerging market deficits more than doubling from below 5% of GDP pre-Covid to above 10% of GDP in 2020.
- Gap between resource availability, requirement pose challenge in NDC implementation: Eco SurveyIn the NDC, the country has also sought to achieve 40 per cent of cumulative electric power installed capacity from non-fossil fuel sources by 2030.
- Eco Survey captures India's fight against COVID-19, its strong economic fundamentals: PM ModiIt emphasises on the huge potential for economic growth, the importance of further scaling up innovation and the way ahead in key areas like health, he said in a tweet.
- India needs to focus on growth to alleviate poverty: Economic SurveyThe Survey said that unlike in advanced economies, in India, economic growth and inequality converge in terms of their effects on socio-economic indicators.
- Economic Survey calls for simplification of regulationsThe Economic Survey 2020-21 presented in Parliament on Friday said that in order to solve the problems, authorities often make attempts to reduce discretion by having evermore complex regulations, which is counterproductive.
- Economists divided over Economic Survey's projectionsEarlier in the day, Chief Economic Adviser K V Subramanian projected an 11 per cent growth for 2021-22, aided by V-shaped recovery and a 7.7 per cent contraction for the current year. It also projects a lower 6.8 per cent growth in 2022-23.
- Growth leads to debt sustainability, says Economic Survey"With the Indian context of potential high growth, the interest rate on debt paid by the Indian government has been less than India's growth rate by norm, not by exception," it said.
- India likely to post current account surplus after 17 years: Economic SurveyHowever, reversing this trend, current account balance turned into surplus (0.1 per cent of GDP) in fourth quarter 2019-20 on the back of, among others, a lower trade deficit and a sharp rise in net invisible receipts.
BUDGET-O-METER
Has the Budget ticked all the boxes that India needs to sail through this crisis?
Markets & Budget
Mithali Raj equals record of most 50 plus scores in Women's World Cup
JNPT surpasses pre-Covid traffic volume in FY22
California accuses Tesla Inc of racial discrimination in lawsuit
Aurobindo plans domestic formulation foray, sets 1000 cr sales target in next 3yrs
Expert Views
- Budget unlikely to provide momentum to Sensex
- Budget: Unleash the gold ecosystem to generate employment and exports
- Budget will have to find a balance between capital spending and borrowing
Taxes & You
PPF stays out of tax on EPF interest
High-income PF lovers not to get 8.5% gains
Tax on PF interest will change the way we invest in it: How the Budget hits your PF
Bond yields are expected to firm up further: Why you should stick to short duration mutual funds for now
Budget Debate
Did Sitharaman's budget live up to the expectations?
Budget 2021 doubled healthcare spending, made space for infrastructure and laid out a plan for divesting two PSU banks, all aimed to dig an economy out of a pandemic-induced slump. If you go by Sensex's tally today, the Budget seems to have lived up to the hype. What do you think?
Click to CommentSectors In Focus
Banking/Finance
Anup Saha: A grounded operator with a head for numbers
HDFC Bank Group General Counsel Sudhir Kumar Jha retires after 22 years
Competition Commission okays BNP Paribas-IndiaFirst Life Insurance deal
Banks advise customers to complete essential transactions ahead of 3-day strike
Bank deposits, credit shrink in fortnight to September 15
Bandhan Bank promoter to gradually reduce stake to meet RBI norms
Government may do away with UPI subsidies as MDR revenue kicks in
Govt urges bank employees to refrain from strikes, resolve issues through dialogue
Gujarat floods trigger thousands of crores in insurance claims, prompting rate hikes for i...
World Bank mobilises $112 billion in private capital for developing nations
Energy
Vedanta plans $200 million push to lift Rajasthan oil output
Aramco Trading sells 10 million bbls Khafji crude to Asian refiners, sources say
Oil slides as Saudi Arabia boosts flows via key pipeline
CCI seeks more info on Adani Energy's IntelliSmart deal
Oil minister Hardeep Puri calls for deeper India-OPEC energy ties
Coal India Limited announces ambitious Business Development portfolio for diversification ...
Assam CM Himanta Biswa Sarma laid foundation stone for Adani Power’s 3,200 MW Assam Projec...
India discusses US Sanctioning Russia and Iran Act implications on bilateral ties and ener...
India calls for secure, affordable and reliable energy for development
Diamond Power Infrastructure secures Rs 179.43 crore order from Adani Electricity Mumbai f...
Tech
UPI volumes slip; Moneyview makes strong market debut
Apple plans to sell six million iPhone Duo units this year: Report
AI’s newest models compete on price, not just power
AI agent wars: OpenAI’s Dots wades into a market warmed up by Instinct and Meta’s Muse
IPO-bound Kuku turns profitable as FY26 revenue jumps sixfold to Rs 1,484 crore
Moneyview closes 67% above IPO price, boosts paper gains for Ribbit, Accel
Broadcom to lend Anthropic up to $42 billion to lease its chips, filing says
Electric two-wheeler sales cross 15 lakh in just nine months as adoption rockets
Tech development board closes R&D funding call citing administrative reasons, denies fundi...
Chinese hackers impersonated ex-US official to steal emails from AI experts
Auto
Auto makers post strong sales ahead of festive season
Nissan Motor September sales down 5% to 10,025 units
Hero MotoCorp total dispatches at 7.66 lakh vehicles in September, up 12%
TVS Motor September sales rise 24% to 6.73 lakh units
Jammu and Kashmir government notifies Electric Vehicle Policy 2026
CEAT expands Chennai plant to boost premium tyre production for India, global markets
Maruti Suzuki India total sales rise 24% to 2.36 lakh units in September
Tata Motors Passenger Vehicles sales rise 15% in September to 70,210 units
Ashok Leyland vehicle sales up 28 per cent to 24,409 units in September
Royal Enfield records 8% rise in total sales to 1,33,958 units in September
FMCG
Anushka Sharma-backed Slurrp Farm explores fresh fundraise as existing investors eye exit
FSSAI rules put beverage makers in a tizzy as ‘energy’ deadline looms
Triple shock rattles India’s FMCG basket as 68% of categories lose volume
ITC expands dairy play in East India, bets on branded milk
Dabur’s Sesa Care merger gets NCLT approval
'Transparency' packs the punch: Sales of packaged health foods with clean ingredients surg...
Reliance Consumer Products quadruples authorised capital to ₹40,000 crore as FMCG business...
Soap & shampoo veg or non-veg? A dot on the pack will now tell you
Protein boom sparks deals, partnerships across F&B space
FMCG firms to hold prices despite rise in commodity costs; prioritise volume growth
MSME
Budget hopes for FinTech: Boost credit flow for MSMEs
Budget can follow ‘ande ka funda’ path to tap the potential in beekeeping, horticulture, a...
Hit hardest by pandemic, travel & hospitality sector wants tax incentives, policy support ...
1% inspiration, 99% perspiration: Budget should incentivise turning jugaad into innovation
Can Budget convert India’s demographic dividend into skill dividend?
Budget: As Chinese stainless steel imports surge, Indian MSMEs feel the heat
Vocational skills development should be a key thrust area for Budget 2022
Expectations from the Azadi ka Amrit Mahotsav Budget
MSMEs largely outside the ambit of PLI scheme, many small businesses left out of ECLGS. Ca...
Logistics industry wants govt to expedite connectivity projects in Budget 2022, expect fir...
Common Man's Budget
Union Budget 2021: 10 things consumers should know
Budget fine print: AC and refrigerator to be costlier; gold and silver to be cheaper
Salary components: Trades and tactics to use
Five things about home loan tax incentives you should know
बजट हिंदी में
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Crypto पर सरकार की सख्ती: गलत रिपोर्टिंग की तो रोज लगेगा जुर्माना, Budget 2026 ने बदला खेल
Budget 2026: विदेशों से पर्सनल इस्तेमाल के लिए सामान मंगाना और विदेश घूमने जाना हुआ सस्ता, जानें बजट में क्या हुई घोषणाएं
Budget 2026 For Education: शिक्षा क्षेत्र के लिए बजट में क्या कुछ खास, सरकार पहले से ज्यादा करेगी खर्च, जानें डिटेल्स
Details on Budget
Nirmala Sitharaman's third Budget doubled spending on healthcare, made space for infrastructure and divestment and lifted caps on foreigners investing in its insurance market to help revive an economy bludgeoned by the coronavirus pandemic. Belying expectations, Sitharaman's Budget did not give any income tax relief or made any changes in tax slabs or rates. There was no Covid tax as well. Senior citizens above 75 years of age with only pension and interest income would not be required to file income tax returns. Dalal Street lauded the Budget with the BSE Sensex gaining over 2,000 points.