New Delhi: As the economy of the country is going through a rough phase because of the coronavirus lockdown, sources at the Union Ministry of Finance told news channel NDTV that the Centre government is likely to announce another round of stimulus before Diwali.
As per updates, the stimulus would focus on job manufacturing and will give a push to growth with production-linked incentive schemes.
The update from the Finance Ministry comes at a time when the country’s GDP crashed a record 23.9 per cent in the quarter ending June 30.
To boost the economic growth, the Centre had first rolled out stimulus package, called Aatmnirbhar Bharat, in May. That package had included monetary and fiscal support worth Rs 20 lakh crore.
Last month, the Centre had announced a Rs 73,000-crore package, including advance part-payment of wages to central government employees and cash in lieu of leave travel allowance (LTC), to stimulate consumer demand and investment in the economy.
Last month, the Ministry of Finance had also indicated at the possibility of a second stimulus package to revive the economy.
Earlier, the RBI had also said that the economy is likely to contract by 9.5 per cent in the current fiscal.
Earlier in the day, the Centre approved offering Rs 2 lakh crore worth of production-linked incentives to 10 more sectors to boost domestic manufacturing.
Giving further details, Information and Broadcasting Minister Prakash Javadekar said production-linked incentives will be offered for sectors such as white goods manufacturing, pharmaceutical, specialised steel, auto, telecom, textile, food products, solar photovoltic and cell battery.
The scheme from the Centre is aimed at making domestic manufacturers globally competitive, attracting investment and enhancing exports.