Venkaiah Naidu: To create jobs is the need of the hour

Published: Jan 23, 2018, 18:25 IST | PTI

Massive recapitalisation of public sector banks at Rs 2.11 lakh crore is expected to improve the credit growth and private sector investment, Naidu said

Venkaiah NaiduVice President Venkaiah Naidu

Vice President M. Venkaiah Naidu today said the expanding middle class will be the key driver of India's economic growth, and the need of the hour is to take full advantage of our demography by creating jobs. He also said that while India must improve its tax-to-GDP ratio and curb tax evasion, there should be no needless harassment of tax-payers.

"The expanding middle class will be the key driver of India's economic growth in the coming years. With the large population of India, about 65 per cent under 35 years, the need of the hour of is to take full advantage of this demographic number by creating adequate job opportunities for the young population," Naidu said.

He was speaking at the inaugural session on a seminar on `Contemporary issues and challenges in Finance, Marketing and Taxation', organised by the Keshav Memorial Institute of Commerce and Science here. "Merely turning out lakhs of students with degrees is not enough," he said, adding that they must be taught "life skills".

While the first and second rounds of major economic reforms were initiated by the governments led by P V Narasimha Rao and Atal Bihari Vajpayee, the third round of reforms by the present government is transforming the economy, he said. Massive recapitalisation of public sector banks at Rs 2.11 lakh crore is expected to improve the credit growth and private sector investment, Naidu said, adding that introduction of the Insolvency and Bankruptcy Code has strengthened creditors' rights.

One of the major objectives of both demonetisation and Goods and Services Tax was to increase tax compliance, he said. The expansion of formal economy will lead to increased tax collection and higher revenues, which will be used to accelerate development by building essential infrastructure, he said. "While tax evasion has to be dealt with sternly, it should be ensured that there is no unnecessary harassment of tax payers by overzealous officials," he said.

The GST has changed the face of the indirect tax regime as it brings one tax instead of multiplicity of taxes, Naidu said. India needs to ramp up its tax-to-GDP ratio, currently at 16.6 per cent, to fund a modern, twenty-first century government which can offer basic public facilities and social security to its citizens, Naidu said.

Demonetisation, a special investigation team for black money and the notification of the Benami Transactions Act would bring a wider range of economic activities in the tax net, while the war on black money needs to continue unabated, the vice president said.

The content/reporting displayed on our website www.mid-day.com is provided "AS-IS," "AS AVAILABLE, by us from third party, agencies, sources, without any verification from our side. It may contain error, bugs and other limitations. The reader's can rely on the content at their own will. Mid-day accepts no responsibility or liability for its dependability, trustworthiness, reliability, data, text, images, video, messages, or any other material whatsoever or for any claims/loss/action that the reader may suffer as a result of relying on the content on our site. Mid-day management/mid-day.com reserves the sole right to alter, delete or remove (without notice) the content in its absolute discretion for any reason whatsoever.

Catch up on all the latest Mumbai news, current affairs from Mumbai, local news, crime news and breaking headlines here

Download the new mid-day Android and iOS apps to get updates on all the latest and trending stories on the go

Trending Video

Sign up for all the latest news, top galleries and trending videos from Mid-day.com

Subscribe
Loading...

No more trees to be axed in Aarey until October 21, says Supreme Court

NEXT STORY
This website uses cookie or similar technologies, to enhance your browsing experience and provide personalised recommendations. By continuing to use our website, you agree to our Privacy Policy and Cookie Policy. OK