Economic Survey 2020: Here are the key highlights

 Finance Minister Nirmala Sitharaman on Friday tabled the Economic Survey 2020 in Parliament. The survey, prepared by Chief Economic Advisor Krishnamurthy Subramanian.

India’s economic survey said intervention by the government, though well-intended, often ends up undermining the ability of markets to create wealth and leads to outcomes that are the opposite of the intentions.

The survey, which forecast growth of 6-6.5 percent in the next financial year starting April 1, gave the examples of commodities, drugs, foodgrain and debt waivers to buttress this point.

Here are the key highlights of the survey:

Banks may remain risk averse unless IBC process speeds

Length of Indian business cycle appears to be 13 quarters

Global sentiment continues to favour India

Economic Survey 2020 sees room to further rationalise subsidies, especially food

Food subsidy rationalisation is a key tool to fiscal management; counter-cyclical fisc steps to up consumer sentiment

GST buoyancy key to Centre, state revenue position; see FY20 tax collections to be lower Vs estimate

Economic Survey 2020 says Cut in capex by govt may adversely hurt growth; must focus on trimming non-committed revenue spend

See evidence for strong reversion of headline CPI to core