With less than 2 days nearing the Budget the government of India presented the Economic survey of 2018 ahead of the bid day.
What were the key take ways? What budget allocation was made? Which were the key takeaways of the Survey? We take a look at the same –
The Economic survey highlights that there has been a rise in the number of direct and indirect tax payers and subsequently it leads to the contribution of the states and the civic agencies to remain low as compared to the other nation states.It also reveals the state of investment patterns which is more important than the increasing amount of savings.
What is the Economic Survey?
It is the annual publication of the Finance Ministry which is presented in both the Houses of the Parliament at the time of the Budget Session.It is like a review of the country’s developments in the economy over the last year.In short it is a summary of the major developmental program mes undertaken by the Government during the previous year.
We take a look at some of the new pointers-
Increase in registration of direct and indirect taxes-
GST has given a new perspective of Finance to the Indian economy and a whole new data system has emerged.Also,the good part is there has been a large amount of increase in voluntary registrations by the small scale enterprises which they want to avail themselves of the tax inputs.
Increase in the formal agricultural payroll-
India’s formal sector especially the non-farm payroll is much greater than what it is anticipated.Formality was initially defined in terms of social security and the Employee Provident Funds.The formal sector payroll was found out to be around 31 percent of the non-agricultural workers .
Data on the international and Inter-State trade-
Data on the international exports have been for the first time included in the Economic Survey.Such a type of survey indicate a strong performance and highlights the standard of living.The survey has also found out that states which export and are trading internationally are found to be richer and doing much better from the sales perspective.
India’s export structure is more egalitarian
India’s export structure is quite different as compared to other countries.They have a much smaller share of exports in comparison to other countries.
Around one percent of the Indian firms account for only 38 percent of the exports unlike that of the other countries.
Raising investment is more important than raising savings-
The survey highlights that there should be growth in investment rather than the savings and if either of it is followed then there will be automatically a growth in the investment patterns.
Climate change will adversely affect the crop yield-
Climate change will have its adverse impact on the subsequent crop yields.Extreme temperature and the deficiency in rainfall affects the crop yields tremendously.Many of such discrepancies have been captured on the agricultural map and the graphical changes are also there for everyone to see.