India has standardised itself for a 7-8% growth rate: Arun Jaitley

New Delhi: Finance Minister Arun Jaitley on Thursday said that India has standardised itself for a 7-8 percent growth rate. He however added that achieving a 10 percent GDP growth rate is challenging and will depend on how the world is moving.

Addressing the Hindustan Times Leadership Summit, Jaitley said that India will need Rs 50 lakh crore investment in next 5 years. In recent time, the government has increased infrastructure spending, he said, adding the Budget 2017-18 made allocation of Rs 3.96 lakh crore for infrastructure sector. 

On reforms, he said India has structurally reformed and there is no finishing line in reforms.

Jaitley said the Goods and Services Tax (GST) started with different tax rates and they have rationalised rates on many items.

Going forward, future rationalisation of rates would depend on revenue collections, he said, indicating the merger of 12 percent and 18 percent rates into one while keeping a "thin" line of luxury and demerit items in the top 28 percent band.

The FM said that India intends to follow the glide path as far as the fiscal deficit is concerned.

"The last three years we have an exemplary record as far as maintaining that glide path is concerned. We intend to move on that track," he added.

With Agency Inputs