He also said India's economic fundamentals continue to be strong and that the government would take more steps to revive the economy.
India's GDP growth slumped to a 26-quarter low of 4.5 per cent in the second quarter of the current fiscal as gross value added to the manufacturing sector contracted for the first time in nine quarters.
The last time GDP grew at a slower pace was in the fourth quarter of 2012-13, when it had expanded only 4.3 per cent.
The compensation requirements have increased significantly and are unlikely to be met from the compensation cess being collected.
This discussion is quite critical as lower GST and compensation cess collections have been a matter of concern in the last few months, according to a letter written by the GST Council to Commissioner, SGST of all states.
The Council has sought suggestions, inputs or proposals as regards measures, on compliance as well as rates which would help in augmenting revenue.
"Specific suggestions may please be provided on ... review of items currently under exemptions, GST and compensation cess rates on various items, rate calibrations for addressing the inverted duty structure, compliance measures other than those currently under implementation and any other measure to augment revenue," it said.
The suggestions made will be placed before the committee for urgent examination, it said.
The GST Council is headed by Finance Minister Nirmala Sitharaman.
Earlier in the day, finance ministers and representatives of opposition-ruled states met Union Finance Minister Nirmala Sitharaman and expressed their concern over the delay in the release of GST compensation which has put them in an acute financial position.
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