Raaisha Upadhyay (Intern Journalist)
Former Prime Minister Manmohan Singh has proffered three steps to restore the country’s financial health.
India’s economic reforms program suggested direct cash assistance to protect livelihoods and retain spending power, government-backed credit guarantee schemes to make capital available for businesses, and institutional autonomy to fix the financial sector.
He explained “This economic slowdown is caused by a humanitarian crisis. It is important to view this from the prism of sentiments in our society than mere economic numbers and methods,”
Later he added
“Higher borrowing is inevitable… Even if we have to spend an additional 10% of the Gross Domestic Product (GDP) to cater to the military, health, and economic challenges, it must be done.”
Global economies in the past have gone through crises with proven economic tools, Singh pointed out. “Now we have an economic crisis caused by an epidemic which has induced fear and uncertainty in society, and monetary policy as an economic tool to counter this crisis is proving to be blunt,” Singh said.
About Post Author
