{"id":12467,"date":"2020-08-15T16:34:36","date_gmt":"2020-08-15T11:04:36","guid":{"rendered":"https:\/\/www.grainmart.in\/news\/?p=12467"},"modified":"2020-08-15T07:34:58","modified_gmt":"2020-08-15T02:04:58","slug":"manmohan-singh-warns-of-slowdown-suggests-three-step-agenda-for-reviving-indian-economy","status":"publish","type":"post","link":"https:\/\/www.grainmart.in\/news\/manmohan-singh-warns-of-slowdown-suggests-three-step-agenda-for-reviving-indian-economy\/","title":{"rendered":"Manmohan Singh Warns of Slowdown, Suggests Three Step Agenda for Reviving Indian Economy"},"content":{"rendered":"\n

Citing the sharp increase in COVID cases<\/a> and predictions for GDP contraction, Dr Manmohan Singh Warns of Slowdown<\/a>. Suggested a three-step plan for reviving the Indian economy.<\/p>\n\n\n\n

Lockdown Caused Pain to People But Was Unavoidable<\/h4>\n\n\n\n

In a conversation with BBC, the former Prime Minister and a Congress stalwart, Manmohan Singh highlight that the current economic slowdown was inevitable. Mentioning the sudden announcement of the lockdown<\/a> amid the coronavirus<\/a> crisis, he critiques that the move was insensitive but perhaps unavoidable. Also, Manmohan Singh noted that the stringency of the lockdown made people suffer. He added that such public health crises are better solved at local levels under broad Central guidelines.<\/p>\n\n\n\n

\u00a0Three Step Agenda for Economic Revival<\/h4>\n\n\n\n

Singh listed three steps to revive the economy. Firstly, he said that the government should ensure that people have enough spending power through direct cash assistance.\u00a0 Explaining this, Manmohan Singh said that borrowing could not be avoided at this stage even if it increases the debt<\/a> to GDP ratio. Further, he added that if borrowing restores livelihoods, borders and brings back the economy on track, then it is worth for sure. India has an impeccable record in lending, and it\u2019s not a sign of weakness.\u00a0 Hence the government should be cautious of using that borrowed money.<\/p>\n\n\n\n

\"Former
Former Prime Minister, Manmohan Singh Mentions Three Steps to Aid in Indian Economic Recovery <\/figcaption><\/figure>\n\n\n\n

Secondly, he emphasized on the need for government-guaranteed credit systems to infuse capital in businesses. Lastly, he suggested fixing the country\u2019s financial sector through institutional autonomy and processes.<\/p>\n\n\n\n

Regarding the predictions of GDP<\/a> contraction, Singh hopes that the consensus of the economists is wrong. He further added that if it happens, will be the first time in independent India.<\/p>\n\n\n\n

Warning Against Protectionism<\/h4>\n\n\n\n

Singh also warned the country of following other nations in protectionism. He said that liberal trade policy had benefited almost all sections of the society in the last three decades. Also, he added that the previous crises were of known nature that had proven economic tools as solutions. However, the epidemic has induced fear among society, confirming monetary policy blunt as an economic tool.<\/p>\n\n\n\n

In all, India<\/a> was already struggling with a GDP growth rate of 4.2% and hence will take time to restore normalcy. \u00a0<\/p>\n","protected":false},"excerpt":{"rendered":"

Citing the sharp increase in COVID cases, Manmohan Singh warns of slowdown and suggests three-step plan for reviving Indian economy<\/p>\n","protected":false},"author":13,"featured_media":1734,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[4],"tags":[23186,23184,13849,23182,22362,23185,23180,23027,23188,6255,2514,23187,365,13641,23179,4631,3618,23189],"class_list":["post-12467","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news","tag-borrowing-money","tag-broad-central-guidelines","tag-coronavirus-lockdown","tag-covid-cases","tag-debt-to-gdp","tag-direct-cash-assistance","tag-dr-manmohan-singh","tag-economic-revival","tag-economic-tool","tag-former-prime-minister","tag-gdp","tag-gdp-contraction","tag-indian-economy","tag-lockdown","tag-protectionism","tag-public-health-crisis","tag-slowdown","tag-trade-policy"],"yoast_head":"\nManmohan Singh Warns of 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