NEW DELHI: India Inc’s wait for an economic stimulus might get longer. This is because an economic taskforce, headed by Union Finance Minister Nirmala Sitharaman, will give a sectorwise report to assess the impact of coronavirus, before deciding on any sector-specific stimulus.
“The taskforce is on its toes, monitoring the situation closely. It will not announce measures based on demand, but only after carefully assessing the sectorwise impact of the lockdown. The taskforce will be submitting a report on the sectors, so that the stimulus is utilised judicially. Any announcement will only happen after that,” a senior finance ministry official told TNIE.
The official said that the report will start coming only by the first week of April and not before. “The report will start coming only in the first week of next month. Till that time, the government will take decisions on a case-to-case basis as and when required,” the official added.
The government last week had announced Rs 1.7 lakh crore relief package to provide a safety net for those hit the hardest by the Covid-19 lockdown, along with insurance covers for frontline medical personnel. The measures included giving free cereals and cooking gas to about 800 million people, apart from direct cash transfers to Jan Dhan accounts for three months.
Ever since the 21-day lockdown began on March 25, India Inc, which had already been reeling under the economic slowdown, has been demanding a stimulus package to sustain businesses. The most severely hit are the aviation, travel, hospitality, retail, manufacturing and automotive sectors, and small businesses.