Economic Survey Highlights 2006-07

Economic Survey highlights 2006-07






The Economic Survey 2006-07 reiterated the growth figures of 9.2 per cent in the fiscal year to March 31. As the economy expands at its fastest pace in two years, going by current trends, it will be able to maintain the current momentum, says the report.

The Finance Ministry has said that the economic fundamentals are robust and the outlook for Asia's fourth-largest economy is upbeat.

Highlights

GDP to grow 9.2 per cent, touch US$ 643.46 billion in 2006-07
Superfast surcharge levied on second class tickets reduced by 20 per cent.
500 kms of new rail lane envisaged.
Smart rail travel cards to be introduced
Priorities: Making growth inclusive
Priorities: Fiscal prudence, high investment
Priorities: Improving govt intervention in critical
Areas such as education and health
Agriculture to grow 2.7 per cent, share in GDP dips to 18.5 per cent
Industry to grow at 10 per cent, share in GDP up to 26.4 per cent
Services to grow at 11.2 per cent, share in GDP rises to 55.1 per cent
10th plan average GDP growth at 7.6 per cent vs targeted 8 per cent
Food items, wheat, pulses, sugar driving inflation
In industry, mining, gas and power issues of concern
Exports up 36.3 per cent to US$ 89.5 billion in April-December 2006-07
Capital flows strong, FDI up 98.4 per cent in April-September 2006-07
FIIs sellers in H-1, but likely to be positive in H-2
Core sector growth 8.3 per cent vs 5.5 per cent in April-December 2006-07
Infrastructure to require US$ 320 billion in 11th plan
Public sector to fund 60 per cent of infrastructure
Stock markets buoyant, market cap rises to 91 per cent of GDP
US$ 36.6 billion raised from IPOs in 2006
Mutual funds raise US$ 23.7 billion, up four-fold
Tourism earnings cross US$ 6.6 billion in 2006
Gross domestic savings rate up at 32.4 per cent in 2005-06
Gross domestic investment rate at 33.8 per cent in 2005-06
Gross fixed capital formation rises to 28.1 per cent in 2005-06
Savings of private corporates rise sharply at 8.1 per cent
High savings rate to continue
Government final consumption expenditure up 11.5 per cent in FY06
Employment rate grows to 2.5 per cent in 1999-2005