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The regional disparity challenge -Nikita Kwatra & Pramit Bhattacharya

-Livemint.com A Fiscal Stimulus that comes from the poorest states of the country will enable them to raise capex spending, boost growth and catch up with the others On many development parameters, India appears to be almost like a continent, with different states at vastly different stages of development. Underlying such stark differences are differences in the levels of per capita incomes, and such differences have risen sharply over the past...

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Delayed monsoon, weak rural economy took toll on tractor sale

-The New Indian Express The industry has warned that this trend may continue if no stimulus is given to boost rural demand. Delayed monsoon, weak rural economy, tightened liquidity scenario, and the vicious cycle of droughts and floods have dragged down the demand for tractors, which is already witnessing slowdown since the start of this fiscal. The industry has warned that this trend may continue if no stimulus is given to boost...

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Is the current slowdown cyclical or structural? -Deepti Mathew

-IANS While there is a consensus that the economy is slowing down, the debate is still going on whether the slowdown is structural or cyclical. The Indian economy is passing through a phase of economic slowdown, with the GDP growth registering one of the lowest rates of 5.8 per cent in the last quarter of FY19. The GDP growth rate for the first quarter of FY20 is feared to be lower than...

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India Inc looks to govt for stimulus, but fiscal space limited as revenue falters -Aanchal Magazine, Pranav Mukul & Anil Sasi

-The Indian Express The emerging consensus within India Inc. on the need for a government-led stimulus notwithstanding, the Centre has limited fiscal space given the lower tax collections. The Budget was a missed opportunity in terms of signalling reforms New Delhi: India Inc’s clamour for a stimulus to restart the investment cycle points to a near unanimous view within the industry — that government has to do the heavy lifting first...

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Five policy reforms to jump-start growth -Niranjan Rajadhyaksha

-Livemint.com How India can put in place policy reforms to raise GDP growth without creating macroeconomic instability Mumbai: The second Narendra Modi government has begun its innings in the midst of a sharp economic slowdown. Economic expansion in the fourth quarter of the previous financial year was at the lowest level in five years—and 2.2 percentage points lower than growth in the first quarter of that year. The recent loss in economic...

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