Finance Minister Nirmala Sitharaman tabled a copy of the Economic Survey 2021-22 in the Rajya Sabha on Monday. The Union Budget session of Parliament was kickstarted by President Ram Nath Kovind who addressed the joint sitting of both houses in the Central Hall. The House was adjourned for the day after Economic Survey was tabled by the Finance Minister in Parliament.

The annual report card was presented by V Anantha Nageswaran, who recently took over as the new chief economic advisor. The Economic Survey for the 2021-22 edition pointed out that economic revival has mostly been financed through money raised through the capital markets rather than bank credit. “Risk capital (i.e. money raised from capital markets) has so far been more important than the banks in providing finance to the revival,” the Economic Survey stated. Despite being under pressure for most of the COVID-19 pandemic period, non-food bank credits are slowly accelerating.

On December 31, 2021, it remained at 9.3 per cent. It stood at 6.6 per cent a year ago. According to a report filed by Economic Times, the growth was driven by personal loans and the agriculture sector. Since February 2019, the RBI has reduced the repo rate by 250 basis points. As per the survey, the transmission has been higher in public sector banks than in private sector banks in the current monetary easing cycle.

According to the Economic Survey 2021-22, India will comfortably meet its fiscal deficit FY22 target following a strong rebound in revenues. The fiscal support given to the economy as well as to the health response caused the fiscal deficit and government debt to rise in 2020-21. “However, a strong rebound in government revenues in 2021-22 has meant that the government will comfortably meet its targets for the year while maintaining the support, and ramping up capital expenditure,” the survey added.