GST reforms, Sept. 4 -- Cuts could boost GDP between 0.1-0.16 percentage points (ppt) and lower inflation by 40-60 basis points (bps) on an annual basis, according to Standard Chartered Global Research.

In its report titled 'India - A timely GST cut', Standard Chartered said that there will be limited revenue loss due to GST cut, which could "soothe fiscal worries", adding: "we still see pressure (0.15-0.20 per cent of GDP) on the combined fiscal deficit".

The report further added that there is need for clarity needed on direct tax / GST cess collection, and the fiscal support to exporters, in order to assess the risk of slippage.

According to Standard Chartered, the GST revamp "is well timed - ahead of the start of the festival season...