Categories: Business

Right time for next fiscal push may be when covid 19 vaccine comes through

Photo: AP

Corona crisis

new Delhi. As the uncertainty surrounding the corona virus epidemic ends, the government may announce new financial measures to increase demand. Chief Economic Advisor KV Subramaniam said this on Wednesday. During this, he called it important to formulate policies to counter the prevailing conditions. Addressing a webinar organized by FICCI, the leading chamber of commerce and industry, Submanium said that if the vaccine of Kovid-19 is prepared, the prevalence of market uncertainty regarding this epidemic will be reduced to a great extent. He said, "The government at its level is doing what is necessary in the matter of increasing government consumption but time and circumstance are very important in this. As long as there is uncertainty, even if there is money in the pocket of the people, he would prefer to keep it in the bank. "

Giving examples, Subramaniam said that the amount deposited in the accounts opened under the Pradhan Mantri Jan Dhan Yojana has increased by Rs 20,000 crore. He said that due to uncertainty, people are saving instead of spending. Even Jan Dhan account holders are saving money instead of spending it. He said, "This means that if the vaccine is prepared, the uncertainty will be removed." And I believe that the time would be quite appropriate for financial incentives, that would definitely increase demand, even the demand for expensive and other non-essential products. " Policies are important but at the same time time is also very important for the true value of money spent. Finance Minister Nirmala Sitharaman said on Tuesday that the government is ready to take more steps in future to increase economic activities. In May, the government announced an incentive package of Rs 20.97 lakh crore to revive the economy from the situation arising out of the corona virus epidemic. Experts and analysts believe that the package is around 10 per cent of GDP and it mostly focuses on the supply side but does not remove the demand side bottlenecks.

This post was published on July 22, 2020 5:27 pm

Content Team

Recent Posts

Microsoft in talk to invest $ 100 million in sharechat

Photo: MICROSOFT Microsoft in talk to invest $ 100 million in sharechat new Delhi. Microsoft can invest about $ 100…

uco bank cuts MCLR, IOB cuts base rate

Photo: PTI Uco Bank new Delhi. Today, two public sector banks have lowered their lending rates. UCO Bank has cut…

DoT set to allow contact less verification for mobile customers

Photo: GOOGLE DoT set to allow contact less verification for mobile customers new Delhi. In the midst of the Corona…