Lending institutions, however, expressed concerns on asset quality and cited low demand and weakness on the ground. Banks are cautious in lending to high-risk sectors fearing future defaults
Borrowings can at best be a temporary solution; Centre along with its siblings must explore more durable measures to shore up tax revenues
Those in favour of a tax cut point to the strong backward linkages of the auto sector that would help in accelerating economic growth
The plan to privatise some of the banks like Punjab & Sind Bank, Indian Overseas Bank and Bank of Maharashtra is downright outlandish
States’ proposal to extend the time period looks sensible at a time when Centre’s ability to pay them their dues looks limited
Public sector capital expenditure remains a major tool in the hands of the government to propel the economy forward
The government believes that public capex plays an important role in driving growth in the Indian economy and can aid recovery from the impact of COVID-19. But can PSUs step up their capex amid sluggish economic activiy and sagging demand and how will this help in reviving the economy?
A bad bank is essentially an entity which bundles together all the bad assets in the banking industry, buys it at a discounted price from banks and tries to find buyers by putting a turnaround plan in place
Banks’ reluctance to lend to sectors perceived as risky is unlikely to see a big change following the FM’s announcements
These reforms will not only professionalise the entire value chain but also allow the farmer to access both capital and technology to modernise farming.
Large investment in infrastructure, both by the government and the private sector, will be required to give a choice to farmers to sell to a buyer of their choice.
Moneycontrol's Sakshi Batra does a 3 point analysis on the key measures announced by the Finance Minister.
Market could retest lower levels again, and then reverse the trend.
This will help local value-added products to reach out for global markets of health and wellness products, herbal and organic produce, nutritious food grains, etc
The market may not see a vertical kind of movement that we have seen in the past, it is more likely to be a slow grinding kind of movement.
The government pumping in debt to small firms, without focusing on a demand revival on the ground, is a recipe for disaster