NEW DELHI: The second part of the economic survey for 2016-17, tabled in Parliament on Friday, flagged lurking risks to growth while asserting that there is scope for slashing interest rates to enable the economy to achieve its full potential. "Cyclical conditions, then, suggest that the policy rate should actually be below— not 50-100 basis points or so above—the neutral rate. The conclusion is inescapable that the scope for monetary easing is considerable, more than that suggested by comparison with neutral interest rates. It said the fiscal outlook for the current year is uncertain and listed several downside risks. The Centre aims to rein the fiscal deficit at 3.2% of GDP in the current fiscal year.

Source: Times of India August 11, 2017 19:48 UTC