PM Modi meets FM Nirmala Sitharaman on measures to boost economy. The economy continues in the lock down for nearly 4 months and has shown signs of depression and stagnation. The Prime Minister’s Office is in continuous talks with the Finance Ministry. To discuss ways to boost the economy to its PRE-COVID environment. It has to assess the status of the Rs 21 lakh crore financial package announced days on 24 March 2020.
Firstly, the focus is on reviewing the overall economic conditions. And the measures which can be taken further to boost the economy. As well as the Indian Express reported. The PMO and the Finance Ministry continue to hold more meetings. Prime Minister Narendra Modi and Finance Minister Nirmala Sitharaman have already met twice this week.
FM And PM Meet
Lest, the government had earlier announced a financial relief package for the most vulnerable sections of the society. However, there is a growing demand now for a wider income support to help provide a demand stimulus.
“The focus is on assessing economic situations and what possible measures may be required from September onwards. Aspects relating to e-commerce police are being looked. Into by the commerce ministry closely”. A government official said, the newspaper reported.
But various rating agencies have downgraded India GDP outlook, ICRA sharply reduced forecast for the ongoing financial year 2020-21 to 9.5% shrink from earlier 5% in the backdrop of rising coronavirus cases.
“GDP growth in 2020-21 is estimated to remain in the negative territory with some pick up in growth impulses in the second half of 2020-21 onwards,” RBI Governor Shaktikanta Das said.
However, the government has taken a slew of measures. Which are including providing reliefs to MSMEs and NBFCs. The government’s ‘Vocal for Local’ and ‘Make in India 2.0‘ campaign is taking shape and is estimated to improve the trade deficit.
