New Delhi: Worst-hit by the coronavirus-induced lockdown, the industry sectors are likely to get another round of economic stimulus from the Central government ahead of Diwali. The development comes as Union Minister Nirmala Sitharaman had last week said the option for another stimulus package has not been closed.Also Read - Budget 2022 Documents To Go Green Again This Time, Printing of Copies To Be Minimum
If reports are to be believed, the economic measures are likely to include a push for infrastructure in urban projects, extension of the production-linked incentive (PLI) scheme to more sectors, and sector-specific relief for hospitality and tourism industries. Also Read - Budget 2022: IMF’s Gita Gopinath Expects India To Address Unequal Recovery, Focus On Healthcare, Education
A report by Moneycontrol stated that the Central government at present is working on this stimulus package which will be the fourth set of measures since the outbreak of coronavirus in March. Also Read - Tax Concession, Fund Allocation: Here’s What Pharma Sector Expects From Budget 2022
The Central government, however, has delayed the proposal of an urban jobs programme as policymakers believe that the investment by it and its state-owned companies into urban projects will lead to employment generation without resorting to a separate scheme.
However, the reports suggest that the new measures will identify 20-25 projects from the National Infrastructure Pipeline, where capital expenditure can be pumped in expeditiously.
In the third stimulus package, Union Finance Minister Nirmala Sitharaman had announced a slew of measures to increase demand and ramp up capital expenditure earlier this month.
To protect the poor and vulnerable sections from the impact of COVID-19 crisis, the Central government had in March this year announced Rs 1.70 lakh crore Pradhan Mantri Garib Kalyan Yojana (PMGKP). Then the Centre had also announced Aatmanirbhar Bharat Abhiyan package of Rs 20.97 lakh crore in May focusing on supply side measures and long-term reforms.