Assocham prez: Economy is still in remonetisation stage

Industry chamber Assocham's new president Sandeep Jajodia said on Wednesday that the economy is still in the stage of remonetisation and people should be encouraged to start spending again.

He said that proposals like Tax Collected at Source on transactions above `2 lakh could be revisited to revive consumer demand. Enough cash in both rural area and cities, along with some bold and pragmatic decisions on issues like bank NPAs would be key drivers for reverting to 8 percent growth, he said.

Mr Jajodia said that it must be ensured that there shall not be any tax terrorism and fear psychosis among the consumers, especially of high value products and services. Besides, government officials at all levels should be made accountable for their actions, he said.

"As we slowly limp back to economic revival and remonetise our country we should not put disincentives to curb spending," Mr Jajodia said.

THE CENTRE should further speed up infrastructure projects being financed by public funding in roads, highways, railways, ports and airports with high speed and efficient execution of such public projects