Three years of Modi govt: Arun Jaitley defends GDP figures, demonetisation

Finance Minister Arun Jaitley on Thursday highlighted Modi government's three years of economic policies during a press conference in New Delhi.

Jaitley said that demonetization had brought about a "new normal" in the Indian economy. The Finance Minister said that the note ban had led to greater move towards digitisation of the Indian economy.

He also reiterated that the tax payer base in the country had increased due to demonetisation and a message had been sent that it was not safe to have cash transactions. On the fall of the GDP figures, Jailtey said that the 7%-8% GDP growth in India was "fairly reasonable" considering global standards.

Attacking the UPA regime, Arun Jaitley said that there was no credibility present in the government when they took over, the Narendra Modi CAbinet restored the credibility of economy.

"We have shown decisiveness, even the ability to take difficult decisions," he said.

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The Finance Minister said that in the last three years global trade shrank. He once again raked up the debate of big economies becoming protectionist.

"There were three distinct benefits from demonetisation. Firstly, there is greater movement towards digitisation, tax payers' base has increased and a message has gone loud and clear that it is no longer safe to deal in cash," he said.

Listing out the achievements, he said, "Decisive and tough policies helped restore Eco Credibility and remove corruption".

Here are the other main highlights of Jaitley's interaction with the media:

• Civil Aviation Ministry will have to explore mechanism for privatisation of Air India.
• On impact of demonetisation on growth: Cumulative factors responsible for decline in GDP in Q4 of 2016-17
  
• FM Arun Jaitley says existing state laws continue regarding cattle slaughter.
  
• The Defence Acquisition Council has acted in an unprecedented manner, as opposed to the inaction during previous years.
• 7%-8% GDP growth fairly reasonable level of growth and very good by global standards.
• In past few weeks, our Armed Forces are dominating the LoC, we have been able to build a lot of pressure.
• Resolving NPAs, encouraging private sector investment major challenges before govt.
• Decisive and tough policies helped restore Eco Credibility and remove corruption.
• There is a greater movement towards digitization. Tax payer base has been increased.
• Our focus is to increase defence manufacturing in India, lot of pending issues like OROP were settled in 2015.
• The tax revenue has gone up by 18% in 2016-17; we are now also the largest recipient of FDI.
• Leveraged market mechanisms to bring benefits to the deserving.
• Have taken key initiatives to boost domestic defence manufacturing.
• Demonetisation has brought in a new normal.