Академический Документы
Профессиональный Документы
Культура Документы
• Global Outlook
BIS Review
97/2009
• Regulatory measures
• FISCAL MEASURES
Fiscal measures
Tax relief to boost demand
Increased expenditure on public projects to create
employment and
public assets
Cost 3.5% of GDP – Rs.1.86 trillion ($37 billion)
Net borrowing during 2008-09 rose from budgeted Rs.1
trillion ($20 billion) to Rs.2.29 trillion ($46 billion)
Increase in fiscal deficit from 2.7% of GDP in 2007-08
to 6.2% of GDP in 2008-09
Net borrowing during 2009-10 budgeted at Rs.3.97
trillion (approx $80 billion)
CURRENT SCENARIO AND POSITION OF
INDIA
First, notwithstanding the severity and multiplicity of the adverse
shocks, India's financial markets have shown admirable resilience.
This is in large part because India's banking system remains
sound, healthy, well capitalized and prudently regulated.
Second, our comfortable reserve position provides confidence to
overseas investors.
Third, since a large majority of Indians do not participate in equity
and asset markets, the negative impact of the wealth loss effect
that is plaguing the advanced economies should be quite muted.
Consequently, consumption demand should hold up well.
Fourth, because of India's mandated priority sector lending,
institutional credit for agriculture has remained unaffected. The
farm loan waiver package implemented by the Government should
further insulate the agriculture sector from the crisis.
Finally, over the years, India has built an extensive network of
social safety-net programmes, including the flagship rural
employment guarantee programme. These uniquely Indian
versions of automatic stabilizers should protect the poor from the
extreme impact of the global crisis.
HOW THE WORLD SEES INDIAN
MARKETS IN THE RECESSIONARY
AND THE CURRENT PHASE?
• Talk about India, here the situation is still satisfactory if
compare it with other countries of the world.
• Major destination for FIIs and FDIs:
India is back on the radar of global investors even in the
midst of the global financial crisis, with 56 per cent year-on-
year rise in inflows of foreign direct investment in July this
year .
• Biggest market for FMCG and other companies India’s
consumer confidence rated highest amongst the 52
countries researched by neilsen.
• Index again reaching close to 17000 making india a major
destination to invest.
THANK YOU