Sandeep Dikshit

Tribune News Service

New Delhi, November 18

Members of the Economic Advisory Council to the Prime Minister (EAC-PM) are optimistic about the growth prospects for the next financial year (2022-23) as the contact-intensive sectors and construction should recover in 2022-23, stated an official news release after it met here on Thursday.

The members were confident that once capacity utilisation improves, private investments should also recover. They, therefore, felt a real rate of growth of seven to 7.5 per cent in 2022-23 was likely.

The members unanimously agreed that the Budget for the current fiscal was well taken in all the spheres especially due to the reform measures, as well as transparency and realism in the numbers and wanted these aspects to be carried forward into the next Budget too.

Though the growth prospects for the next fiscal are high, the members cautioned against the next Budget projecting unrealistically high tax revenue or tax buoyancy numbers. It should also signal the use of the extra revenue in human capital expenditure since Covid has led to a deficit and wanted a clear road-map for privatisation.