After the Modi Government came into power nation is developing at a much faster pace. It is showing growth in all sectors. It has now retained its place as a global power with the continuous efforts of Government.
In yet another development data compiled by The Economic Survey 2018 revealed that in the first half of the year 2017 services export in India has shown a robust 16.2% growth. With this massive achievement India has outpaced not just China but rest of the world also. India’s services export, which was earlier racing against China and the rest of the world in terms of annual growth until 2015, clearly outpaced them in terms of annual growth.
India’s services export between 2011 and 2012, too, outpaced both China and rest of the world after China witnessed a sharp decline perhaps as a result of the 2008 financial crisis. But India could not maintain the status for too long. The services export took over India soon after 2012.
Post-2013, India came neck and neck with China until 2015 when it started outpacing both with a robust growth continuing for over two years now. “Services exports recorded a robust growth of 16.2% during April-September 2017-18, with a turnaround in some major sectors like travel and software services,” the Economic Survey 2018 noted.
And, moreover, the survey also predicted that India’s service exports are going to improve further in 2017-18. “Good performance of sub-sectors like Tourism, Aviation, and Telecom, robust services trade performance with even growth of major services like software returning to positive territory,” it added.
To boost services exports, the Survey mentions that the Government in its mid-term Review of Foreign Trade Policy 2015-2020, has increased incentives under Services Exports from India Schemes (SEIS) by 2 percent, leading to an additional annual incentive of Rs.1,140 crore which could help services exports including Hotel & Restaurant, Hospital, Educational services etc. Although world trade volume of goods and services is projected to accelerate in 2018, enhanced global uncertainty, protectionism and stricter migration rules would be key factors in shaping India’s services exports.
The survey also detailed that India remained the eighth largest exporter of commercial services in the world in 2016 with a share of 3.4 per cent. This is double the share of India’s merchandise exports in the world at 1.7 percent. India’s services sector registered an export growth of 5.7 per cent in 2016-17. During the period April-September 2017-18, growth in services exports and services imports were robust at 16.2 per cent and 17.4 per cent respectively. Net services receipts rose by 14.6 per cent during this period. The net surplus in the services financed, about 49 per cent of India’s merchandise deficit in H1 of 2017-18.
The provisional data mapping the growth of India’s services export seems to back the survey prediction. Between April 2017 and February 2018, India’s services export registered a growth a whopping 17.6% even as the higher trade deficit continues to pose a challenge for India. Such data indicates a strong correlation between export performance and states‘ standard of living. States that export internationally and trade with other states have been found to be richer.
This story has not been edited and is taken from an authenticated official feed.