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MARKET MOVES

GST reforms: Refunds, wider ITC mark third phase of reform as India targets global supply chains, says PwC’s Pratik Jain

·Economic Times·Impact 3/5 · Notable

The Goods and Services Tax (GST) Council has implemented new reforms aimed at making it easier for businesses to operate in India. These changes include wider refunds for input services and capital goods, as well as allowing businesses to claim Input Tax Credits (ITC) on employee insurance. This marks the third phase of GST reforms, which are designed to make India a more attractive destination for global supply chains. By easing working-capital stress and lowering costs, these reforms could have a positive impact on businesses and the overall economy.

Read the source report: Economic Times →

Why it matters

The GST reforms are expected to ease the process of doing business in India, which could lead to increased investment and economic growth. This, in turn, could boost investor sentiment and lift the stock market.

Market impact

Impact score
3 / 5
Market signal
Positive / risk-on
Category
Market moves
Model confidence
70%

Markets & countries in focus

India

Transmission channels

GST reforms→Easier compliance→Increased investment→Economic growth→Indian equities rise

Likely winners & losers

Winners

  • Indian equities
  • Exporters

Under pressure

  • Importers

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MeridStreet does not reproduce source articles. The summary and analysis above are generated by MeridStreet from public headlines and its own market model; the original reporting belongs to Economic Times. For information only — not financial advice.