ervi es e tor      10.13
             (b) liberalisation of FDI policies in civil             will tremendously increase the reach
                 aviation; and                                       and bandwidth along with greater use
             (c) strong growth in passenger traffic                  of mobiles in government’s social sector
                 – expected to continue in the near                  programmes could give a further boost to
                 future.                                             this fast growing sector.
         (v) The outlook for the retail industry
                                                                Several relevant and contemporary suggestions
             remains positive as India continues to
                                                          have been articulated by a Working Paper of
             remain an attractive long-term retail
             destination despite the various challenges   the Ministry of Finance by late February 2016.
             faced by the sector. Following initiatives   Dealing with the sectors like tourism, shipping
             are expected to give a fillip to the sector— and port, IT and software the advices are deeper
             (a) allocation of Rs. 1000 crore to          and effective12.
                 technology and start-up sectors,              As per the Economic Survey 2017-18,
             (b) promotion of cashless transactions via   services are expected to have better performance
                 RUPay debit cards, and                   during 2017-18 over the preceding year. This
             (c) growth of e-commerce.                    improvement is also reflected in the Nikkei/IHS
        (vi) Government’s focus on the tourism            Markit Services Purchasing Manager’s Index
             sector including easing visas by eTV and     (PMI) which improved in December 2017 to 50.9
             building tourism infrastructure could
                                                          (from 48.5 in November 2017). The prospects
             help in the recovery of the tourism sector.
                                                          look bright across the spectrum of services such as
       (vii) Despite challenges in the global market,
                                                          tourism, aviation, and telecom. Trade in services
             the Indian IT industry is expected to
             maintain double or near-double- digit        are also supposed to be robust with major services
             growth as India offers depth and breadth     like software returning to positive territory.
             across different segments of this industry,  Though, the risk related to external environment
             such as, IT services, BPM, ER&D,             is there for software and business services.
             internet and mobility and software
                                                            12.   A working paper by H.A.C. Prasad and S.S. Singh:
             products.                                            ‘India’s Services Sector: Performance, Some Issues
      (viii) In the telecom sector, the introduction of           and Suggestions’, Department of Economic Affairs,
             4G which could be a game changer and                 Ministry of Finance (New Delhi: Government of India,
                                                                  2016).
             inclusion of fibre optic connectivity which