During April-September 2017-18, Growth in Services Exports and Services Imports Robust at 16.2 Per Cent and 17.4 Per Cent Respectively

During April-September 2017-18, Growth in Services Exports and Services Imports Robust at 16.2 Per Cent and 17.4 Per Cent Respectively

India remained the eighth largest exporter in commercial services in the world in 2016 with share of 3.4 per cent. This is double the share of Indias merchandise exports in the world at 1.7 percent, as put forth in the Economic Survey 2017-18 tabled in the Parliament today by the Minister for Finance and Corporate Affairs, Shri Arun Jaitley. Indias 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. Net surplus in the services financed, about 49 per cent of Indias merchandise deficit in H1 of 2017-18.

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 per cent, 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 Indias services exports.