Mumbai, Sept. 9 -- Merely cutting the goods and services tax (GST) rates will not be enough to stimulate demand in the economy, Godrej Enterprises' chairman and managing director Jamshyd N. Godrej said in response to a query on lagging private capital expenditure. "We need big bang reforms, significant deregulation in every sector for private capex to grow."

He added that the last such sweeping reforms had taken place in 1991, when India had liberalized its economy. "These (the GST rate cuts) are just rate rationalisation." The chairman was speaking on the sidelines of a press meet for Interio by Godrej.

Godrej also dismissed the view that the income tax rebates-offered to those earning up to Rs.12 lakh in this year's Budget-would boost...