Context: The latest INR 2.6 Lakh Crore fiscal stimulus package appears well considered and timed, but its success depends on the overall magnitude and implementation efficacy.
Benefits of Current Fiscal Stimulus:
Issues with the Current Fiscal Stimulus:
Conclusion: There is a possibility of another fiscal stimulus by the end of FY2021, by enhancing current borrowing programme to minimize the contraction of real and nominal growth rates in this crisis year.