The Banking Regulation Act was amended to allow the Reserve Bank of India (RBI) to crack down on loan defaulters. In 2017, the government took several steps to tackle the bad loans menace that has dampened the banks appetite to lend to the sectors in need. This large scale inventory clearance had caused an economy-wide slowdown, pulling down overall Gross Domestic Product (GDP) growth to a 13-quarter low of 5.7 percent in the quarter-ended June. Manufacturing witnessed slowdown, as companies and traders had emptied inventories to carry over as little old stock as possible into July, triggering an unexpected mid-year pre-GST “sale” season on many products at heavy price markdowns. The Indian economy felt the pangs of GST evidently. Although this wasn’t a deterrent in the BJP’s victory in Prime Minister Narendra Modi’s home state, the moves clearly made a section of the business community unhappy. Impact on the common man and small businesses, and implementation woes aside, both the GST and demonetisation snowballed into a political turmoil putting the NDA government in a precarious situation ahead of the crucial Gujarat assembly election. The criticism of relatively high rates on certain daily-use commodities forced the government to announce tax cuts on close to 300 items within just four months of its implementation, to soothe small traders hit by GST-related disruptions. Unlocking opportunities in Metal and Mining.
QUICKEN 2017 HOME AND BUSINESS CRASHING TAX SCHEDULE SERIES
Interview Series Business In The Week Ahead.