Balance inflation growth trade off, lower cost of trade: FIEO

Tags: News
Exporters body FIEO has laid out the five major challenges confronting the Finance Minister in the upcoming Budget, which include balancing inflation-growth tradeoff, lowering cost of credit and stimulating manufacturing, among others

Federation of Indian Exports Organisations (FIEO) President M Rafeeque Ahmed said that the foremost challenge would be to strike the right balance between inflation and growth while urging the Finance Minister to give equal priority to growth to augment supply and contain inflation.

Finance Minister Arun Jaitley has to, accordingly, find ways and means for reducing the cost of credit which has moved up by over 60 per cent in last three years or so since the adoption of the base rate regime in July 2010, Ahmed said.

He also described stimulating manufacturing which showed 1 per cent growth in 2012-13 and contracted in 2013-14 would be the another major issue before the Finance Minister.

Propelling exports, Ahmed said, when world economy is expected to grow at over 4.5 per cent, will be much-needed both for managing trade deficit, current account deficit as well as generating employment in the country.

Besides, the economy should be made buoyant to attract overseas investment in infrastructure projects so as to provide medium and long term support to it, he said.

Post new comment

E-mail ID will not be published
CAPTCHA
This question is for testing whether you are a human visitor and to prevent automated spam submissions.

EDITORIAL OF THE DAY

  • But what’s the big deal about Modi’s first hundred days?

    That Indians believe more in symbolism than substance is a fact that is well acknowledged and chronicled.

FC NEWSLETTER

Stay informed on our latest news!

INTERVIEWS

GV Nageswara Rao

MD & CEO, IDBI Federal Life

Timothy Moe

Goldman Sachs

Chander Mohan Sethi

CMD, Reckitt Benckiser India

COLUMNIST

Urs Schöttli

West Asia turmoil worries east Asia

From Beijing to Jakarta, from Manila to Tokyo, east Asian ...

Purnendu Ghosh

Memory is a collage of the old and new

We are all fitted with pressure valves. Some of us ...

Shona Adhikari

The enduring legacy of <em>The Last Supper</em>

This week’s column features a work of art that is ...

INTERVIEWS

William D. Green

Chairman & CEO, Accenture