New Delhi: India may witness a current account surplus due to the recent economic reforms announced by the government, said the Chief Economic Adviser, Krishnamurthy Subramanian.
Speaking at CII’s MNCs Conference 2020 on Monday, the CEA also said that the implementation of the labour law reforms has eased compliance burden by way of increased thresholds, change of MSME definition and easier retrenchment norms.
“Owing to the economic reforms measures by the government, the Indian economy may witness a Current Account Surplus despite battling the COVID19 crisis,” he said
The government has taken up several market liberalising measures including enhancing FDI limits in defence, commercialising coal mining, labour law reforms among others as part of the economic packages announced to support the economy amid the pandemic.
Subramanian on Monday said that the intent of the reforms including RERA, employment among others is for formalisation of the economy.
“Macroeconomic configuration is being changed to employment-intensive sectors for sustained growth,” the CEA said.
Soumitra Bhattacharya, Chairman, CII National Committee said that the government reform measures of liberalisation in FDI policies, simplification of agriculture and labour laws, PLI schemes have provided a boost to foreign investment sentiment.
IANS