Raghuram Rajan: Demonetisation, GST held back India’s economic growth, 7% not enough

Dr Raghuram Rajan former RBI governor during the KREA university opening meeting at Peninsula corporate park in Lower Parel on Friday. Express photo by Nirmal Harindran, 23rd March 2018, Mumbai.

Dr Raghuram Rajan former RBI governor during the KREA university opening meeting at Peninsula corporate park in Lower Parel on Friday. Express photo by Nirmal Harindran, 23rd March 2018, Mumbai.

NEW DELHI: Former Reserve Bank of India governor Raghuram Rajan has contended that the introduction of demonetisation and the Goods and Services Tax (GST) were the two major events that held back India’s economic growth last year, PTI reported. Speaking at the University of California in Berkley on Friday, Rajan maintained that the seven per cent growth rate is not enough to meet the country’s needs.

“The two successive shocks of demonetisation and the GST had a serious impact on growth in India. Growth has fallen off interestingly at a time when growth in the global economy has been peaking up,” Rajan said while delivering the second Bhattacharya Lectureship on the Future of India.

 

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Credit: indianexpress.com