The government will attempt to press ahead with implementation of the goods and services tax (GST) from April 1, 2017, pitching the proposed tax reform as a key priority for the government, Finance minister Arun Jaitley said.

Jaitley said that, "If we look ahead, its (April 1, 2017) a very stiff target we are running against time. I would certainly like to give it a try."

"It (GST) will plug the leakages. In the long run it will probably stabilise the tax rate and move them down once effectively implemented," the FM added.

"We are trying to consolidate some of the banks, which may otherwise find it difficult in a competitive environment," Jaitley said.

"I don't think that public or political opinion has converged to the point where we can think of privatization in the banking sector," he said.

"Some selective reforms do take place, for instance, we have announced a policy that government holdings (in banks) to be brought down to 52%," he added.

"There is not a single sector that we have left out in terms of resolving issues. if you were to ask me after the passage and may be possible implementation of GST, while that process is on, what would be my priority at the moment, it is certainly the health of public sector banks," the finance minister said.

"This is over and above whatever assistance from the Budget we are giving towards the capitalization of banks."

"They are a very responsible and professional organization. They revise their methodologies and at the end of the day various international institutions, most importantly the IMF, accepts their data," he said.

"Please don't forget once you revise it with effect to a particular cut-off date, and thereafter you use the same formulation and increases would be measured in the same formulations itself.”

"I think if you actually see the extent of activities going on in India, probably this kind of analysis, of course economists are free to make an analysis, would not be a very fair comment," the FM said.

Also Read: GST Bill: India steps up for one nation, one tax!

Nandini