Expressing his confidence of country crossing the 8 percent growth mark, NITI Aayog Vice Chairman Arvind Panagariya has said that a good monsoon with even rainfall distribution across regions will give a boost to farm sector and may push India's GDP growth over 8% mark in the current fiscal from 7.6 % in 2015-16. He said 'I am very optimistic particularly encouraged by the monsoon. Monsoon will deliver this time. We can expect some pretty robust agriculture growth'. He added that if the agriculture growth does pan out on those lines that really makes growth rate can go up to 8 percent in the current fiscal on the back of a good monsoon.
Country’s economy grew by 7.9% in March quarter to consolidate its position as the fastest growing major economy, leaving behind China, with a five-year high growth rate of 7.6% for 2015-16 on robust manufacturing growth. The government had also said that the growth rate can go up to 8 percent in the current fiscal on the back of a good monsoon.
He further said that there are certain things which require aligning, for example the distinction between the Plan and Non-Plan expenditure. This will disappear starting 2017-18. But states that keep the planning (old process), they will then be free to choose what expenditure they want to classify as Plan expenditure at state levels and the government is not imposing anything on states. He also said that the proposals for the abolition of the Railway Budget and moving to a new financial year are still under consideration and no decision has been taken as of now.
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