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India should cut tax on debt instruments to reduce cost of capital, economic adviser says
Image source: economictimes.indiatimes.com

GK and monthly revision

India should cut tax on debt instruments to reduce cost of capital, economic adviser says

The annual economic survey in India recommends reducing the cost of capital by diversifying financing beyond banks and lowering taxes on debt instruments. It suggests reforms to strengthen long-term capital markets, including credit enhancement facilities and revised investment guidelines for long-term funds. The survey also advocates for a shift to activity-based regulation to prevent regulatory arbitrage, which could help improve access to capital and reduce the overall cost of doing business in the country.

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Revision structure

Monthly events and exam calendar context
Static GK and one-liner notes
Quiz and mock-test revision path

Key points

Exam-ready takeaways

The annual economic survey in India recommends reducing the cost of capital by diversifying financing beyond banks and lowering taxes on debt instruments.

The survey suggests reforms to strengthen long-term capital markets, including credit enhancement facilities and revised investment guidelines for long-term funds.

The survey advocates for a shift to activity-based regulation to prevent regulatory arbitrage.

These measures could help improve access to capital and reduce the overall cost of doing business in the country.

The recommendations are aimed at supporting economic growth and development in India.

How to study

Turn news into exam marks

Revise monthly events by exam family instead of reading random updates.

Pair one-liners with mock tests so mistakes become the next revision list.

Keep state job pages, calendar pages and GK packs connected in one path.