TMS Ep422: PLI scheme, Ease of Moving Index, markets, double jeopardy

India is planning to take on China through its Production-Linked Incentive (PLI) scheme. This is what Union Finance Minister Nirmala Sitharaman said during her visit to the US last month. The government had rolled out the ambitious scheme in 2020 with an outlay of about ₹2 lakh crore to make India a manufacturing powerhouse. But in the last fiscal year, it disbursed only 2,874 crore rupees, or only about 1.4 per cent of the total outlay. So should it be a cause of worry? Maybe not. As the government has big plans ahead. So has the scheme been able to meet its projected goals? What are some of the challenges? 

But is PLI enough to lift the prospects of the country? What about productivity? What if a large number of company workers are turning up exhausted at its doors? A 2019 report had claimed that on an average Indians spent close to two hours in daily office commute. And after the pandemic break, people have again hit the streets. While some cities offer comfortable and affordable mobility, others don’t. A recent report titled ‘Ease of Moving Index 2022’ offered some insight into it. 

Mumbai Metro, meanwhile, has given a big relief to the residents of the country’s financial capital. Moving on, the action of global central banks has been the key anchor for markets since last year. And, as inflation begins to cool off across the globe, market watchers have raised bets in favour of an end to the monetary tightening. In this backdrop, will the US Fed chief Jerome Powell deliver interest rate action on expected lines this week? Or will his dot plot outlook stoke fresh concerns? 

From markets, let us turn our focus to the corridors of politics. Rahul Gandhi recently got a respite from Patna High Court which stayed proceedings in a lower court in connection with a defamation case filed against him for his alleged remark on the “Modi” surname. Gandhi had submitted that since he has already been convicted by a Surat court, he cannot be tried again in the same case. In legal terms, the court’s decision is on the lines of the doctrine of double jeopardy. Listen to this episode of the podcast to know more.