Lok Sabha Question No. 1927 (UNSTARRED), answered on 2017-12-29
Subject: Private Capital Investments
Ministry: FINANCE
Asked by: RABINDRA KUMAR JENA

## LOK SABHA UNSTARRED QUESTION NO. 1927

TO BE ANSWERED ON FRIDAY DECEMBER 29, 2017 / PAUSHA 08, 1939 (SAKA)

## PRIVATE CAPITAL INVESTMENTS

## 1927: SHRI RABINDRA KUMAR JENA:

Will the Minister of FINANCE be pleased to state:

- (a)    Whether the Government maintained quarter-wise data on private investment proposals in Indian economy;
- (b)     If so, the details of the data for the last six quarters;
- (c)    Whether there has been a slowdown in the growth of private investment during the last one or four quarters and if so the details thereof; and
- (d)      The  steps  taken/being  taken  by  the  Government  to  arrest  the  slowdown  of  private  capital investment in Indian economy?

## ANSWER

## MINISTER OF STATE IN THE MINISTRY OF FINANCE (SHRI PON. RADHAKRISHNAN)

- (a) to (c):  Statement indicating Quarterly Gross Fixed Capital Formation (GFCF) at constant (201112)  prices  and  current  prices,  as  per  the  Press  Note  on  Provisional  estimates  of  Annual  National Income 2016-17 and quarterly estimates of GDP for the fourth quarter (Q4) of 2016-17 and Press Notes on estimates of GDP for the Second quarter of 2017-18 released on 31.5.2017 and 30.11.2017 respectively  by  the  Central  Statistics  Unit  (CSO)  is  at Annexure-I. Statement  indicating  growth rates  of  GFCF  during  four  quarters  of  2016-17  and  first  and  second  quarters  of  2017-18  is  at Annexure-II.
- (d): The following steps have been taken by the Government to arrest the slowdown of private capital investment in Indian economy:
- i. Enactment of insolvency and bankruptcy code, 2016 to consolidate existing framework into a single law.
- ii. Recapitalization of public sector banks (PSBs) with Rs.2.11 trillion to address balance sheet problem.
- iii. Implementation of Goods and Services Tax (GST) to integrate the country into a single market.
- iv. Push to infrastructure development by giving infrastructure status to affordable housing, higher allocation to highway construction and focus on coastal connectivity.
- v. Universal electrification taken to provide last mile connectivity and electricity connections to all remaining un-electrified households.
- vi. Increased  public  expenditure  on  infrastructure  with  special  thrust  on  key  development sectors, including rural roads, railways, highways and digital infrastructure.

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## Statement referred to in reply to parts (a) to (c) of Lok Sabha Unstarred Question No.1927 for 29.12.2017

| GFCF (Rs. In crore)   | GFCF (Rs. In crore)   | GFCF (Rs. In crore)     | GFCF (Rs. In crore)        | GFCF (Rs. In crore)     | GFCF (Rs. In crore)   | GFCF (Rs. In crore)      |
|-----------------------|-----------------------|-------------------------|----------------------------|-------------------------|-----------------------|--------------------------|
|                       | April- June 2016-17   | July- September 2016-17 | October - December 2016-17 | January - March 2016-17 | April - June 2017-18  | July - September 2017-18 |
| At                    | 912768                | 874494                  | 895740                     | 919040                  | 927506                | 915211                   |
| At current prices     | 1036732               | 997746                  | 1025288                    | 1057908                 | 1068642               | 1060787                  |

Annexure-II Statement referred to in reply to parts (a) to (c) of Lok Sabha Unstarred Question No.1927 for 29.12.2017

| Growth Rate of GFCF (%)   | Growth Rate of GFCF (%)   | Growth Rate of GFCF (%)   | Growth Rate of GFCF (%)    | Growth Rate of GFCF (%)   | Growth Rate of GFCF (%)   | Growth Rate of GFCF (%)   |
|---------------------------|---------------------------|---------------------------|----------------------------|---------------------------|---------------------------|---------------------------|
|                           | April-June 2016-17        | July- September 2016-17   | October - December 2016-17 | January - March 2016-17   | April - June 2017-18      | July - September 2017-18  |
| At 2011-12                | 7.4                       | 3.0                       | 1.7                        | -2.1                      | 1.6                       | 4.7                       |
| At current prices         | 5.9                       | 2.9                       | 2.2                        | 0.6                       | 3.1                       | 6.3                       |