PM Modi's economic council asks govt to stick to fiscal consolidation

Economic Advisory Council to PM Narendra Modi to meet for first time tomorrow

The EAC today identified ten themes around which the council report would be structured in the coming months and developed by Theme Groups, led by its members, through consultative processes involving sectoral ministries, states, experts, institutions, private sector and other key stakeholders.

Replying queries at the same media interaction, Niti Aayog member and Chairman of the Council Bibek Debroy said "whether we like it or not we don't have good data on employment".

Debroy said the council has identified major priorities for accelerating growth and employment over the next six months, identifying 10 themes around which detailed reports will be prepared by its members and the EAC will make recommendations in "collaboration and consultation" with existing government bodies. These include economic growth, job creation, fiscal framework, monetary framework, social sector, the institution of economic governance among others.

The Council will address all issues of emergent importance, will engage with a broad spectrum of stakeholders and formulate advice accordingly.

Roy, however, acknowledged that economic growth had slowed down in the country and said the Council would examine the causes behind it, "which may be multiple".

India must not move away from the path of fiscal consolidation, the Prime Minister's Economic Advisory Council said on Wednesday.

"There is a consensus among us about the various reasons that have contributed to the slowdown in the growth rate", Chairman of PMEAC Bibek Debroy said.

The council, formed by Prime Minister Narendra Modi last month, held its first meeting on Wednesday, and Mr Roy's comments came at the press conference which followed the meeting.

The council also assessed that the government needs to provide some sort of fiscal stimulus to revive economic growth.

Commenting on International Monetary Fund projections, PMEAC member Rathin Roy said they are 80% wrong.

Chief Economic Adviser Arvind Subramanian gave a presentation to the Council on ways to accelerate economic growth, including investments and exports by using a combination of different policy levers. "Whether we like it or not, we don't have good data on employment and jobs", he said.

The Asian Development Bank too has lowered India's current fiscal growth to 7 per cent from 7.4 per cent, while the RBI cut its economic growth forecast to 6.7 per cent from earlier projection of 7.3 per cent. This has prompted several agencies to lower India's growth forecast.

Related News:



Most liked

LSU police to charge ten people in death of fraternity pledge
The East Baton Rouge Coroner's Office said student Maxwell Gruver had a blood alcohol level of.495 at the time of his death. LSU police said that several other interviews of witnesses "indicated that the pledges were forced to drink in excess".

Aviva plc (AV) Shares Down 0.8%
Credit Suisse Group restated an outperform rating on shares of Glencore PLC in a research report on Friday, July 21st. As of the end of the quarter Fulton Bank, N.a. had acquired a total of 220 shares growing its holdings by 22.8%.

Oil Edges Up Ahead of OPEC Report
Let's take a closer look at five oil-related stocks that you may want to consider ahead of next month's OPEC meeting. A sharp increase in oil prices would tend to discourage consumption and thus growth.

Trump Won't Get Royal Welcome During UK Visit
The Foreign Office said a State Visit, which is seen by MPs as being on indefinite hold, would go ahead at some stage. If Trump's trip is a working visit, he will likely stay at the US ambassador's residence, according to the Standard.

Dominique Rodgers-Cromartie suspended after he leaves Giants
The Giants starting 0-5 is hard enough but it now seems that they could be dealing with some internal problems in the locker room. For a team that had Super Bowl aspirations heading into the year, the 2017 season has been a nightmare from day one.

'Star Wars: The Last Jedi' tickets on sale today
She suffered an attack on a commercial flight from London to Los Angeles, around 15 minutes before the airplane landed. After the trailer aired, tickets for the sequel to "The Force Awakens " went on sale.

Kevin Hogan replaces DeShone Kizer as Browns' starting QB
He was waived in the final cuts and claimed by the Browns before the Chiefs could sign him to their own practice squad. Hogan's first start of the season will come on Sunday, Oct. 15 on the road against the Houston Texans .

Amazon Alexa now recognizes your voice
The feature is one of the spots where Amazon has been playing catch up with Google, in spite of its multi-year head start. Everyone in the home using Alexa should do the same thing, teaching the assistant who to expect to hear from.

Amazon launches Kindle which can be read in the bath
You can now invert the black and white on the display, which will be particularly useful if you're reading in bed at night. Other Kindle e-readers still offered by Amazon include the $79.99 Kindle , $119 Kindle Paperwhite and $199 Kindle Voyage .

A Few Positives and Negatives for Advanced Micro Devices, Inc. (AMD)
Insider Trading Activity for Advanced Micro Devices, Inc . (NASDAQ: AMD ) higher to the next line of resistance at $13.99 a share. Riley & Co on Tuesday, July 18. ( AMD ) recorded volume accumulation so there will probably be a surplus of buyers at $13.41.

Trump refutes NBC story, suggests challenging its broadcasting license
On some days, the majority of the tweets fluttering from the Oval Office focus on the press . The President's denial was buttressed by a statement from his defence chief.

Third Frisco resident infected with West Nile virus
Charity Dean said in a statement. "Mosquito season in OH lasts until the first freeze which is not usually until mid-October". The Ohio Department of Health is reporting a total of 22 human cases of West Nile virus across the state.

Coach Inc. Is Becoming 'Tapestry'
Tapestry has been around for 76 years, owning more brands than simply Coach , including Kate Spade and Stuart Weitzman . Then there's the routinely maligned Tronc, the new name for the newspaper publisher that used to be called Tribune.

'Star Wars: The Last Jedi' Trailer Unveiled At Soldier Field
Just watched the new trailer of The Last Jedi and my mom looks more handsome than ever. It's been nearly one year since the world mourned the death of Carrie Fisher .

Traders move Supreme Court for modification of order banning firecrackers sale
Diwali is on October 19 and the order effectively means that no firecrackers will be available for purchase before the festival. The order does not prevent people from bursting crackers, but deals a blow to those engaged in their manufacturing and sale.