With an aim to boost economic growth, Union Finance Minister Arun Jaitley has said that the next budget in February 2017, will focus on encouraging more public as well as private spending. He also said that India is aiming to become a developed economy and at current 7-7.5% GDP growth does not satisfy its requirements. Therefore, he said that spending more and now is the focus and added that infrastructure spending certainly needs a booster.
On the impact of demonetisation move on the economy, Jaitley agreed that altering this normal is extremely disruptive but in the long run the country would have a higher GDP, a higher revenue and probably far cleaner economy and far cleaner public life. He also said that it was a courageous decision to withdraw 86 per cent of the paper currency, replace it and then say that replacement will now be substantially and significantly in digital.
Jaitley further said that there is long-term potential of more resources getting into the system and that is going to be the top priority. Therefore, he said that next budget should concentrate on areas where the country was lacking, whether in terms of encouraging investment of the private sector and so on. For the budget session next year, he said that, the central government is expected to advance the date of budget presentation for 2017-18 to February 1, 2017 as against the usual date of February 28.