Economy | No need to change borrowing plan: Chawla

Economy | No need to change borrowing plan: Chawla

Mumbai: Finance secretary Ashok Chawla said there’s no need for the Union government to alter its borrowing plan for this year.

“There’s no need or justification to alter the borrowing plan," Chawla said in an interview in Mumbai on Monday.

India raised its planned borrowing for the year ending 31 March by 35% to a record Rs4.51 trillion as it seeks to plug a 16-year-high budget deficit, which the finance ministry estimates at 6.8% of the gross domestic product.

The debt sales won’t drive interest rates higher as the government and the central bank ensure a non-disruptive borrowing programme, finance minister Pranab Mukherjee had said on 25 August.



Sops may hurt indirect tax kitty by Rs2,200 cr

New Delhi: The incentives given to exporters under the foreign trade policy may shave off Rs2,200 crore from government’s indirect tax collections for the current fiscal year, Central Board of Excise and Customs chairman V. Sridhar said on Monday.

The Union Budget for the fiscal has set an indirect tax—customs, central excise and service tax—collection target of Rs2.69 trillion, down 4.2% from the revised estimate of Rs2.81 trillion in the previous year.

Sridhar said there were indications of a revival in sectors such as steel, cement and automobile.