The finance minister, in the Budget speech, had promised that the new DFI would be professionally managed. This was interpreted by most observers to indicate it would have a large, preferably a controlling, share for the private sector and the management would be selected accordingly. However, it now transpires that the state-controlled India Infrastructure Finance Company (IIFCL) will serve as the seed for the new DFI.
In this context, our lead editorial notes that a bail-out of IIFCL and a renaming, alongside a line of credit that will probably allow the new institution to repeat the mistakes of the old. It is hard to see how and why any private-sector pool of long-term capital would want to go into business with such an institution.
With modest revenue effort, the burden of cutting the fiscal deficit will fall on a big expenditure contraction, writes AK Bhattacharya
In Covid-19 times, with growth stalling, GST revenue augmentation has to naturally look at better compliance. The measures to improve this through streamlining the registration system, universalisation of E-invoicing and building up skill levels, among the commercial tax officers, could nudge GST collection to a higher normal, writes former member of Central Board of Indirect Taxes & Customs VS Krishnan
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