Time for bold decisions to revive economy: Arun Jaitley

Indicating that his maiden budget next week will not indulge in 'mindless populism', Finance Minister Arun Jaitley Tuesday said the government would take bold decisions and pursue path of fiscal prudence to revive economy.

Listing out the challenges before the country, he said fiscal deficit is high, inflation is beyond acceptable limits and the fallout of Iraq crisis looms large on the economy.

"If you indulge in mindless populism you burden the exchequer...You convert yourself into a high taxation society. It does not work. Therefore if you have to follow a path of fiscal prudence, (you should) have a certain amount of discipline," Jaitley said.

Addressing a function of the Institute of Chartered Accountants of India (ICAI), he said the rate of inflation compared to last year have somewhat come down but was "still beyond the acceptable limits."

Inflation rose to five-month high of 6.01 percent in May and there is likelihood of prices moving up further in view of predictions of below normal monsoon.

Referring to investment scenario, Jaitley said that after three-four years of pessimism there is hope and now "bold decision-making" is possible.

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