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Raghuram Rajan, former Governor of RBI, suggested about the budget, said these things

January 14, 2021
in Business
2 min read
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Raghuram RAjan Raghuram Rajan, former Governor of RBI, suggested about the budget, said these things Raghuram Rajan, former Governor of RBI, suggested about the budget, said these things
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Raghuram Rajan, former RBI governor and economist

Raghuram Rajan said that poor families and small and medium enterprises should be given relief in the budget of the financial year starting April 1.

new Delhi. Former RBI Governor Raghuram Rajan said that the government should sell its stake in PSUs and set the priority of spending in such a way that the economy, taking advantage of the Indian equity markets being at the highest level. (Economy) then returned to the track.

Set spending priority
Talking to ET Now, he said that the financial budget starting from April 1 should give relief to poor families and small and medium enterprises and after that attention should be paid to bring the economy back on track. He told, “The government will have to prioritize spending, like providing relief to poor families and small businessmen.”

Spending should be increased on infrastructureHe said that spending on infrastructure should be increased, as it is the best way to get the economy back on track. He said that since most of the expenses of the states are similar, they should get more money.

Sell ​​to PSU

Rajan said that the necessary resources to increase expenditure can be found by selling to public sector units (PSUs). He said that the difference between income and expenses can be reduced by selling PSU assets.

Have to achieve very high growth
On the state of the economy, he said that the World Bank estimates that we have lost a gross domestic product of $ 900 billion. I don’t know how accurate these estimates are. But one third of GDP! How long will it take us to reach the place before the Great Depression. Rajan also said that India could hardly reach the level of epidemic by the end of 2022. He said that to compensate for the loss, we have to achieve very high growth rate.



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