Finance Minister Nirmala Sitharaman will present the economic survey in Parliament today. With this, the formal start of Budget 2021 will also begin. Economic survey of this time may be special in many Mayans amid the economy recovering from the impact of Corona.
New Delhi. Today i.e. from January 29, the budget for the financial year 2021-22 is getting started formally. Today the Economic Survey will be presented in Parliament. When Finance Minister Nirmala Sitharaman presents the Economic Survey in Parliament today, everyone from economists, policymakers, researchers and others will be on the look at what the economic growth forecast for FY 2021-22 is. Generally, it is said about this survey that this is the official report of the government regarding the country’s economy. Apart from economic growth, there will be more such things about which you should know.
What is an economic survey?
Economic survey is a kind of official report on the country’s economy. It is usually presented a day before the general budget. This year, Finance Minister Nirmala Sitharaman will present it in Parliament on Friday i.e. today, which will be three days before the presentation of the General Budget.
What happens in an economic survey?
In this, complete information about the condition of the economy is given in detail. It is also told that what are the prospects regarding the future and what challenges will have to be faced on the economic front. It contains information about various sectors and in them, reforms and measures are also mentioned. Looking at the outlook of this survey, policies are made in the future.
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Who is responsible for preparing the economic survey?
The Chief Economic Advisor and his team are responsible for preparing the economic survey. The present Chief Economic Advisor is Krishnamurthy Subramaniam.
What happens in an economic estimate?
Apart from the estimates in the Economic Survey, it is also said that why should it be believed that according to this estimate, the economy will show growth or decline. It is also often told that due to which reforms, economic growth can be increased.
Is the government obliged to follow it?
The central government is not obliged to fully follow the economic survey. It only acts as a policy guide. There have been many such occasions in the past, when there has been a contradiction in the economic survey and the policies of the government. The Economic Survey does not fully indicate what will be announced in the general budget. Many times, the changes recommended about the policy in the economic survey are not included in the proposed budget.
this time survey will have a special look on these three things.
GDP growthThis time the Economic Survey will have estimates of Gross Domestic Product (GDP) for the financial year 2021-22 and GDP for the current financial year. In its advance assessment released this month, the Central Statistics Office (CSO) has stated that economic growth will be -7.7 percent for 2020-21.
The International Monetary Fund (IMF) says that India’s economy will be 11.5 percent in 2021 and in 2022 it will be around 6.8 percent. It is considered to be the best scenario for the Indian economy. Actually, it refers to we shaped recovery. In this, the faster the economy rolls, the faster it recovers. Demand increases rapidly due to government incentives and policies. Income and output increases, demand increases and people spend more. Companies expand their capacity and employ more people.
Covidnomics:The corona virus epidemic has had a bad effect on economies around the world. We all know that India too has not remained untouched by this. Corona has reduced revenue and impacted tax compliance. Many companies have had to shut down their operations due to the lockdown and then even after that long-term ban. This has led to a decline in tax collection. On the other hand, there has been a huge increase in spending on health facilities. In such a situation, the government can declare help to many businesses.
Many leaders around the world, including Prime Minister Narendra Modi, have called this epidemic up to war. In such a situation, special attention will be given to the corona in this survey. There may be information about unconventional financial policy to eliminate its economic impact. Every year there is a special chapter in the Economic Survey, in which new ideas are told. There was mention of previous ‘Thalinomics’. In such a situation, will this year mention ‘Kovidanomics’?
Farm Economics:When Nirmala Sitharaman announced the agricultural reform in May 2020, many people felt that the Modi government has a big plan to fulfill its promise to the farmers. After this, the three laws which the government passed in Parliament, it was also basically about the barrier-free trade of production of farmers. The government also prepared the contract farming framework. There is also a provision in this that if the retail price of a product increases, then its stock limit will also be fixed.
In the last several years, many political parties have announced such reforms. This is the reason why the political parties are not so vocal in the current protest. In such an economic survey, the need for these reforms can be emphasized once again.
