As per Economic Survey 2019 oil prices have been predicted to decline in FY20. Finance Minister Nirmala Sitharaman said that if oil prices decline then it will help keep inflation in check. This comes as a major relief to Indians who had to bear the brunt of rapidly increasing oil prices that only stabilised around the General Elections.
Economic Survey predicted that the annual economic growth could accelerate to 7 per cent in FY20 from an estimated 6.8 per cent in the previous year. If that happens, it would help the country regain the fastest growing major economy title by overthrowing China. “The nation has maintained its macroeconomic stability by containing inflation within 4 per cent and by managing a current account deficit to GDP ratio,” said the economic survey.
It added that India will face a challenge at the fiscal front following an economic slowdown impacting tax collections amid rising state expenditure on the farm sector.
The Economic survey, which has chapters on macro economy as well as industry and different sectors and the outlook, comes a day ahead of the Union Budget scheduled to be presented by Finance Minister Nirmala Sitharaman on July 5.
“Looking forward with excitement to table my first – and the new Government’s first – Economic Survey in Parliament on Thursday. #EcoSurvey2019”, CEA Subramanian had tweeted.