'Farmer loans are going to have a deflationary, not inflationary effect if States’ borrowing limit is not raised.'

Chief Economic Adviser Arvind Subramanian on Friday said that about 5.4 lakh new tax payers have been added post demonetisation period.

While speaking at the Economic Survey 2016-17, Mr. Arvind praised the Goods and Services Tax (GST) and called it an astonishing feat of administration.

He also said that farmer loans are going to have a deflationary, not inflationary effect if States’ borrowing limit is not raised.