According to the National Statistical Office, India’s GDP growth slowed to 5.8% in the January–March quarter of 2018-19, the lowest in five years. The slowdown was attributed to factors such as a high base effect, contraction in the agriculture sector, slower industrial growth, and stress in non-banking financial companies (NBFCs).
To boost economic growth, the government announced several measures in the 2019-20 Budget, including FDI liberalisation, lower corporate tax for companies with turnover up to Rs. 400 crore, tax benefits for electric vehicle loans, reduction in GST on EVs, expansion of pension schemes for traders, and a Rs. 100 lakh crore infrastructure investment plan over five years. Additional initiatives included support for traditional industries under SFURTI, reduced customs duties on raw materials, expansion of the PM-Kisan scheme to all farmers, and formation of a Cabinet Committee on Investment and Growth chaired by the Prime Minister. The information was shared by Minister of State for Finance & Corporate Affairs Shri Anurag Singh Thakur in Rajya Sabha.
