Anand Mahindra, the Chairman of Mahindra Group, has said India should make the most of the slump in global oil prices. Mahindra said there are opportunities India needs to leverage to come out of the ongoing crisis. He advised the government to take advantage of the lower oil prices to increase consumption and also improve the country's fiscal deficit.
So this is what a global meltdown feels like. For India, it's a crisis we mustn't waste. Three opportunities we need to leverage: A) The Govt can use low oil prices both to spur consumption but also retain some of the windfall gains to tackle the deficit. (1/2) https://t.co/uIzM95F2Y2
- anand mahindra (@anandmahindra) March 9, 2020
Mahindra also advised government to soften regulations for international investors who would now be looking towards India as an alternative manufacturing hub to China. He further suggested stepping up the Clean India campaign and making the country more attractive to tourists.
...B) Step up sanitization & the Swachh movement which will make India more appealing to tourists looking for alternatives to China C) Step up our incentives & 'step down' regulations for global investors who will now look for alternative manufacturing sites to China. (2/2)
- anand mahindra (@anandmahindra) March 9, 2020
Oil prices fell crashed on Monday after Saudi Arabia started a price war with Russia by slashing its selling prices and pledging to unleash its pent-up supply onto a market reeling from falling demand because of the coronavirus outbreak. China's efforts to curtail the coronavirus outbreak has disrupted the world's second-largest economy and curtailed shipments to the largest oil importer.