PM Modi's economic panel bats for fiscal consolidation

Rejects IMF's predictions, to provide solutions to perk up growth

The newly constituted Economic Advisory Council to the Prime Minister (EAC-PM) on Wednesday batted for sticking to fiscal consolidation at a time when there was demand for fiscal stimulus to boost sagging economic growth. After its first meeting, the Council arrived at a broad consensus about the slowdown but also said there were green shoots, which would be visible in the months to come.

It has identified major areas for accelerating growth and employment over the next six months, “with greater last mile connectivity”.

The Council disagreed with the International Monetary Fund (IMF), which drastically cut India’s growth projections from