Fiscal And Monetary Support Needed To Nurture Economic Recovery, Asserts RBI Governor
Mumbai: In an effort to revive the ailing economy at this time of COVID pandemic, Reserve Bank Governor Shaktikanta Das on Friday pitched for policy support from all sides — fiscal, monetary and sectoral, saying it is a prime requirement to return to normalcy.
“Overall, the second wave of COVID-19 has altered the near-term outlook, and policy support from all sides fiscal, monetary and sectoral is required to nurture recovery and expedite return to normalcy,” Das said.
The RBI governor also added that the dent in economic activity due to the second wave of the pandemic during April-May necessitated the continuation of monetary measures to support the process of economic recovery to make it durable.
The RBI governor further said the pace of vaccination and the speed with which the second wave can be brought under control will have considerable bearing on the evolving growth as well the inflation trajectory.
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