India Inc wants continuation of stimulus in next fiscal

Questioning the Economic Survey's recommendation for rollback of stimulus measures, India Inc today asked the government to continue with these incentives in the Union Budget to ensure high growth.

"For a higher growth, the government will have to adopt a calibrated approach and continue with stimulus package for at least another fiscal," Assocham President Swati Piramal said.

A day before the presentation of the Union Budget 2010-11, the Survey suggested gradual rollback of stimulus steps, including tax concessions to arrest slowdown of Indian economy in the face of global financial meltdown, echoing the recommendations made by the Prime Ministers' Economic Advisory Committee.

The rollback, it said, would help cut down the fiscal deficit that is estimated at 6.8 per cent of GDP in 2009-10 that was fed by a fall in indirect tax collections and delay in 3G auction.

FICCI President Harsh Pati Singhania said: "The government should continue with stimulus measures as the growth in the industrial and export sector is mainly because of the support".