The article compiles expert opinions on what the government of India and the financial bodies should collectively do to abate the economic crisis caused by COVID-19 along with a slew of measures that have already been rolled out as part of an initial stage treatment.
To help the poor – especially migrant labourers, daily wagers and informal workers – cope up with the economic impact of the annulment of daily work imposed by the nationwide lockdown in tackling the spread of the COVID-19, the Indian government has announced a fiscal package of Rs 1.7 lakh crore. This is a noble step, but not withholding the present predicament that has also fuelled significant volatility in asset prices including public-traded debt and equity, according to KPMG India.
In the light of injecting impetus into economic recovery the Government might consider:
Lenders including Banks and Non-Banking Financial Companies should contemplate:
Now let us look at what the Financial Regulatory Bodies and the consulting giants in association with the Indian Government have already done or are thinking of implementing shortly as far as reviving the economy with stimulus packages and policy renovations are concerned.
Despite all the measures that have already been introduced, Indian businesses of almost all sectors are looking forward to a fiscal stimulus. The Federation of Indian Chambers of Commerce and Industry seeks a revival fund of Rs 2 lakh crore. DK Aggarwal, President of PHD Chamber of Commerce and Industry feels that the government should set up a fund of Rs 25,000 crore to assist the MSME’s fight this battle and once again find a balance between lives and livelihoods.
Stay tuned for more information on the policies and reforms that would reshape the mode of businesses in the coming days. Learn about what businesses need to do to stay in the game, in terms of renewing approaches, utilizing new policies, and reviving the supply chain.
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