India's Covid-19 fiscal stimulus was relatively small, say experts

The International Monetary Fund (IMF) said last week that to maintain external sector balance at a comfortable level over the medium term, India should gradually withdraw its fiscal and monetary policy stimulus. It must also develop export infrastructure and negotiate free-trade agreements with key trading partners to provide a sustainable boost to exports, it said.

With the latest round of repo rate hike by the Reserve Bank of India (RBI), all the pandemic rate cuts have now been reversed.

On the fiscal front, most economists say that the measures announced by the Centre — as part of the ‘Aatmanirbhar Bharat’