(a): whether the situation of balance of payments of the country is not sound;
(b): if so, the details thereof alongwith the reasons for reaching this stage; and
(c): the action taken by the Government to solve this problem ?
(a): whether the situation of balance of payments of the country is not sound;
(b): if so, the details thereof alongwith the reasons for reaching this stage; and
(c): the action taken by the Government to solve this problem ?
MINISTER OF STATE IN THE MINISTRY OF FINANCE ( SHRI BALASAHEB VIKHE PATIL)
(a)& (b): India`s balance of payments (BOP) position remained
comfortable, despite a very unfavourable world economic and
financial situation as a fall out of the crisis in Asia
and hardening of international oil prices. The deficit in the
current account of BOP, which was 1.0 per cent of GDP in
1999-2000, narrowed down to 0.5 per cent of GDP in 2000-01.
Foreign exchange reserves (including gold & SDRs) had increased
by US $5546 million in 1999-2000 and US $4245 million in
2000-01. They have increased further by US $1323million in the
current financial year upto July 20, 2001.
(c): The country`s balance of payments position is monitored closely
both by the Government and the Reserve Bank of India and
appropriate measures are taken, when necessary, to increase the growth of exports and invisible receipts and to enhance the level of non-debt
creating capital flows, particularly of foreign investments, so as
to help maintain a viable balance of payments position and an
adequate level of foreign exchange reserves.