New Delhi: The Associated Chamber of Commerce and Industry of India (ASSOCHAM) expressed confidence that the economy of India, recovering from the Coronavirus pandemic, is poised to take a significant leap. Deepak Sood, the General Secretary of ASSOCHAM, referred to the substantial increase in the GST collection in the month of December while expressing the confidence. He claimed that the effects of a robust financial market and increasing customer confidence have started showing impacts in the Indian economy.
It was recently reported that the GST collections had crossed Rs 1.15 trillion. This is the highest GST collection to date. This is giving indications that the Indian economy is coming back on track. Citing this, Sood said that the Indian economy is poised for a ‘V Shape’, meaning, it is poised to bounce back. The recovery of the economy at the same rapid rate after a rapid decline is known as a V-Shape Recovery. Sood expressed satisfaction that the Indian economy seems to be showing the same pattern of recovery.
Two vaccines for Coronavirus have been approved in the country. A massive vaccination drive will be unveiled in the country soon. The lead taken by India in this matter is increasing the confidence of the country. The good effects will become visible soon in the Indian economy. The manufacturing and services sector, which was hit hard in the Coronavirus crisis, will receive a considerable momentum shortly. Hotel industry, transport and entertainment sectors also had been very severely hit during the Coronavirus crisis. The ASSOCHAM General Secretary said that these sectors also would greatly benefit in the coming times.
While expressing confidence in the economy, Deepak Sood stated the 2021-22 union budget expectations. Sood claimed that this budget would play an essential role in the progress of the economy. Deepak Sood added further that this budget would pay special attention to the health and agriculture sectors, and efforts will be made to increase demand. The ASSOCHAM General Secretary said that in his opinion, hospitals, medical education, medical research and pharmaceutical industry, which are a part of the health sector, will be given major encouragement.
Meanwhile, the international financial institutions claim that although the Indian economy came to a standstill during the Coronavirus crisis, it will be back on track rapidly. This is why international investors have started showing confidence in India, and there is a significant rise in the incoming Foreign Direct Investment. The Indian foreign exchange reserves have reached USD 585 billion, and India stands as the fifth highest on this front. It is claimed that India will surpass Russia in the foreign exchange reserves to reach fourth place. The confidence expressed by the investors even during the Coronavirus crisis is a big positive for India.