Amid uncertainty caused by the COVID-19 pandemic Revenue, and Department of Economic Affairs Secretary, Tarun Bajaj on Tuesday predicted a better growth for the Indian economy and said World Bank has projected India's growth rate between 7.5 per cent to 12 per cent.
"World Bank has said that our growth rate will be between 7.5 per cent – 12 per cent. Not just rating agencies, IMF said that our growth rate will be between 11 per cent to 11.5 per cent, it also has to do with low base effect, hence economy will grow. We expect a better growth rate this year," said Bajaj.
The Indian economy had been slowing, partly due to the collapse of a large non-bank financial firm and the shockwaves it sent through the financial system.
The Covid-19 pandemic and the mitigation measures such as lockdowns deepened the crisis several times over, contracting output and shrinking spending and investments.
He mentioned about the all-time high record collection of Goods and Service Tax (GST) is due to economic recovery and increased compliance with the use of technology/ GST collection in March this year stood at a record high of Rs 1,23,902 crore.
In an exclusive interview with ANI, Bajaj pointed out the reason behind the record GST collection in March.
Bajaj said there are mainly two reasons behind the record GST collection: the economy has started moving upward and we had used technology for better compliance. For the last six months, we are continuously getting GST collection above Rs. 1 lakh crore. This systemic change has set up ease of compliance and also the pace of economic recovery.
"We are hopeful that this trend will continue further," he added.