The key theme of Atmanirbhar packages: spur demand rather than cash in hand
Written by P Vaidyanathan Iyer | New Delhi November 18, 2020 The new stimulus package reinforces the ‘fiscal conservatism’ ideology of the government — rather than large cash transfers, the growth philosophy centres around creating an ecosystem that aids domestic demand, incentivises companies to generate jobs and boost production. Atmanirbhar Bharat 3.0 may well be Finance Minister Nirmala Sitharaman ’s last Covid-19 relief package ahead of Budget 2021-22, but there is a discernible pattern to the four major announcements made over the last seven months. It reinforces the ‘fiscal conservatism’ ideology of the government under Prime Minister Narendra Modi — rather than large cash transfers, the growth philosophy centres around creating an ecosystem that aids domestic demand, incentivises companies to generate jobs and boost production, and simultaneously extends benefits to those in severe distress, be it firms or...