Govt committed to keep fiscal deficit within budgetary target, says Jaitley

Modi govt takes steps to check current account deficit and rein in rupee

The government has chose to withdraw withholding tax on Masala bonds, allow some breathing space to foreign portfolio investments, and check non-essential imports and promote exports in order to arrest the decline in rupee and check the widening current account deficit. It also chose to curb non-essential imports and increase exports.

"We are optimistic about our growth rate and tax collection".

A day after announcing a set of measures to boost short-term capital inflows into the country to rein in rupee depreciation and curb rising current account deficit (CAD), finance minister Arun Jaitley on Saturday sent a strong signal of fiscal prudence by committing to the fiscal deficit as well as capital expenditure targets.

The capital expenditure targets will also be met, he added. He also said the government will maintain the 100% capital expenditure for the year without any cut. The fiscal deficit is the gap between revenues and spending and is a key measure of the state of public finances.

The Government not only assured on the fiscal deficit but also claimed that growth will be much better. However, the position was a bit better than past year, when 92.4 per cent of the target was hit this time around.

At Saturday's meeting detailed presentations were made by Departments of Economic Affairs, Revenue, Expenditure and Disinvestment. "We are now seeing the impact of demonetisation on direct taxes", said M.S. Mani, partner, Deloitte India.

Trevor Noah, Stephen Colbert Respond To Donald Trump’s Claims About Puerto Rico
At least five people have died during Hurricane Florence after the storm made landfall on the North Carolina coast on Friday. Trump touted the federal government's response as " an incredible, unsung success " this week.

The government had projected a GDP growth rate of 7.2-7.5% in the Budget 2018-19.

A 71% increase in income tax return filers before the 31 August deadline this year of 5.42 crore compared to the number of filers in the same time a year ago hints at improved direct tax compliance.

Jaitley said there was a phenomenal increase in the assessee base.

He added that CBDT was "very clear" that this year the government would be able to collect taxes in excess of the budgeted target. India's current account deficit jumped to 2.4 per cent of Gross Domestic Product in the first quarter of 2018-19, from 1.9 per cent in March 2018.

"The government is confident and will strictly maintain the 3.3 per cent fiscal deficit target", Jaitley told reporters after the over three-hour long meeting.

There were expectations that the government may cut excise duty on the two fuels to ease burden on the consumers but it seems it didn't want to take chance as it stands to lose Rs 14,000 crore in revenue from a Re 1 per litre cut in excise. The government, in a meeting chaired by Prime Minister Narendra Modi, also chose to remove restrictions on external commercial borrowings, masala bonds to control the current account deficit, which slipped for the first time in six quarters in April-June.



Latest news

Carolina coast braces for 'Mike Tyson punch' from hurricane
Slower hurricanes - such as Hurricane Harvey - can dump more rain on an area before moving on, adding to their destructive power. Moreover, high tides around noon and midnight these next few days will make the storm surges even worse, Samson said.

Rugby Championship: South Africa stun New Zealand in Wellington
Two late tries nearly rescued this outstanding match for New Zealand, who outscored South Africa by six tries to five. Ioane scored his second try of the match, but that was cancelled out by Dyantyi's second effort.

Texas A&M replaces Texas as most valuable college program
The most recent conference championship for any of those programs came in 2009, when the Longhorns won the Big 12 title. Per the report, the Aggies' average revenue over the course of the last three seasons amounts to $148 million.

Syria thwarts Israel attack on Damascus airport
A war monitoring group said the attack targeted an arms depot for Iranian forces or Lebanon's Hezbollah group. The strike attributed to Israel also reportedly targeted several weapons storage rooms at the airport.

Eight Killed as Florence Dumps 'Epic' Rain on Carolinas
Meanwhile, in SC , at least one gator seemed to be cool with the outer bands of wind and rain that whipped the Myrtle Beach area. That, and the storm's vast circumference of hundreds of miles, means Wilmington will be inundated with rain, the advisory said.

U.S. border agent charged in 2-week killing spree
Border Patrol agent is in custody in connection with the killings of four women and the kidnapping of a fifth in Texas. Authorities say one woman Ortiz had abducted escaped early Saturday morning and she was able to alert authorities.

US calls special meeting at UN as countries ‘undermine’ NK sanctions
The Seoul government said that their joining has nothing to do with efforts to resume the operation of the park. South Korea will station around 20 officials there, while the North will deploy 15-20 officials to the office.

Ohio State Vs. TCU Live Stream
What did we learn about the Buckeyes and the Horned Frogs? Buckeyes placekicker Sean Nuernberger kicked a 20 yard field goal. A 10-0 lead evaporated and TCU led 21-13 in the third quarter after a 16-yard touchdown run by Darius Anderson.

West Nile Virus Positive Test Confirmed in Gage County
Health officials emphasize the importance of people taking precautions as suggested by the CDC to keep mosquitoes from biting. James Tomarken today reported one human case of West Nile virus in Suffolk County, the first human case reported this year.

Prince Harry's wedding ring is different from other royal men
They both agreed that incessantly being in the public eye is the most stressful and emotionally draining part of being a Royal. Photo: Reuters Meghan Markle , right, and her mother Doria Ragland Meghan Markle with her dogs Guy and Bogart.

The Impact Of Hurricane Florence
European astronaut Alexander Gerst shared images of Florence's eye wall from space, calling the storm a "no-kidding nightmare". Florence is anticipated to move slowly over eastern South Carolina Friday night through Saturday night.

'Relentless rains' continue as Florence almost stalls over Carolinas
More than 80,000 people were already without power as the storm began buffeting the coast, and more than 12,000 were in shelters. But it was clear that this was really about the water, not the wind . "WE ARE COMING TO GET YOU", the city tweeted around 2 a.m.

AJ Green has career night in little more than a quarter
An interception by Flacco on the offense's second drive gave the Bengals a head start at the Baltimore 16-yard line. That's powerful brooding about he in overall doesn't reach discontinuance to his easiest under the lights.

Browns to release Josh Gordon
Josh Gordon's very odd 6 years with the Cleveland Browns have gone up in smoke. the team just made a decision to release him. Schefter says teams are already showing interest in acquiring Gordon via a trade.

Browns surprisingly rule out star WR Josh Gordon vs. Saints
Jackson blamed Gordon's appearance on the first play to a "mistake" and "miscommunication". Tune in to see if the Browns can finally get that elusive first win since the 2016 season.

Other news