By IANS
New Delhi : The salient points of the Economic Survey for 2007-08 presented by Finance Minister P. Chidamabaram in the Lok Sabha Thursday:
Indian economy projected to grow 8.7 percent in 2007-08
To top $1 trillion this fiscal at market exchange rate
Inflation projected to decline to 4.1 percent in 2007-08, from 5.6 percent in 2006-07
Focus on containing inflation
Fiscal deficit to decline to 3.3 percent
Revenue deficit to decline to 1.5 percent
Gross tax GDP ratio to rise to 11.8 percent
Domestic investment and savings drive growth
Bank credit grows by 21.5 percent
Increased activity at stock markets, key indices giving returns of around 38 percent
Money registers annual average growth of 19.5 percent in 2006-07
Gross foreign direct investments (FDI) inflows reaching $11.2 billion in first six months of 2007-08
150 percent increase in net FDI inflows in 2006-07 to $23 billion.
70 percent export target achieved during April-Dec 2007
Concern: Rupee appreciation
Exporters provided relief to offset rising rupee
Industrial sector achieves 9.2 percent growth during April-Dec 2007
Services sector growth continues, transport and communications leads the way with 15.3 percent growth
13.9 percent growth in financial services in 2006-07
Revenue expenditure grows 17 percent, higher than target of 5.4 percent
Concern: infrastructure constraints
Concern: slowdown in consumer goods sector
Non-food crops production exceeds target
Food grain production in 2007-08 expected to fall short of the target by 2.2 million tonnes
Food stocks comfortable
Concern: loss of dynamism in agriculture and allied sectors
42.7 million self-help groups covered under micro finance
Fundamentals continue to inspire confidence
Investment climate full of optimism
100 percent foreign direct investment (FDI) in home appliances, rural agricultural banks
51 percent FDI in rural health
Some FDI in retail trade
Concern: Labour force growing faster than employment growth
Challenge: Maintaining 9 percent GDP growth