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GST can push up GDP by 150-200 bps: Deepak Parekh

Noted industrialist Adi Godrej also praised that GST would give a tremendous boost to GDP

IANS  |  Mumbai 

GST can push up GDP by 150-200 bps: Deepak Parekh

Chairman on Friday said the Goods and Services (GST) regime can push up the country's growth by as much as 150-200 basis points (bps).

"If we have a good system, lot of experts say could go up by 150-200 bps," Parekh said at the India Today Conclave here.

India's for the third quarter ended in December 2016 recorded a growth of seven per cent. The estimate of growth for the full fiscal 2016-17 is 7.1 per cent.

Noted industrialist said that once was in place, it would give a tremendous boost to

"Once we are in the framework, lot of things will change for the better. Evading indirect taxes will become difficult, which will lead to higher revenues and hopefully ... to lower taxes," Godrej said.

"Introduction of the will curtail black money. It will be a major step to reduce unaccounted money," he added.

On private investment, Godrej said it has decelerated over the last couple of years and is expected to pick up only in the second half of 2017-18.

Parekh said the revival of private investment was "round the corner" and is likely to pick up in the fourth quarter itself.

"Our macro-fundamentals are so strong."

Praising demonetisation, Godrej said the impact of the move had been more than expected and the consumer demand was back.

First Published: Fri, March 17 2017. 16:06 IST