Food Bill, NREGS crazy notions in current times: Jim Walker

What India really needs is a sensible, responsible fiscal policy, says Jim Walker of Asianomics. Schemes such as the Food Security Bill, National Rural Employment Guarantee Scheme, or NREGS, should be taken off the table, especially at a time when the economy is slowing down, he told CNBC-TV18 in an interview.

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Meanwhile, he feels that the sell-off in rupee is overdone. "It has been long time coming because companies have been under pressure, earnings have been under pressure and fiscal deficit has been out of control," he adds. Below is the verbatim transcript of Jim Walker's interview on CNBC-TV18 Q: What is the need of the hour now?
A: The whole focus should have been on the government, they have come out with the Food Security Bill now, along with guaranteed employment scheme. These are crazy notions when the economy is slowing down and when really what India needed was a sensible, responsible fiscal policy to shore up government finances and economies, the inflation rate in the economy to cool out. They failed miserably and are now reaping the benefits of the consequences. Q: What is your take on the rupee?
A: I think the sell-off in the rupee is overdone. But to be quite honest, the way the policy has been acting in India over the course of 2-3 years has been surprising that the market has held up so well. Companies are under pressure, earnings are under pressure, fiscal deficit is out of control. So it has actually been long time coming and it probably is deserved at the moment.