The recent policy announcements by the Finance Minister are positive and also sustainable. Going forward, there could be a case of government maintaining excess liquidity in the system such that there is faster transmission of rate cuts and that financial system does not come under duress. That apart, few multi-pronged growth strategy measures such as fast tracking infrastructure investments, raising export market share via competitiveness, attracting global value chains that are shifting away from China and prioritising domestic production over imports may be some of the steps implemented in order to revive the growth engine.
The clamour for reduction in