Former RBI governor Raghuram Rajan has criticized the Prime Minister’s Office for influencing the decision-making process. All cannot be done by the PMO office itself. In an interview with The Wire, he commented that the future economic conditions based on PMO self-action. He said the economy would change in response to past actions if the government did not announce further stimulus measures as criticized by Raghuram Rajan on PMO.
I am concerned about the ongoing crisis. The government should also negotiate with those who specialize in opposition. Also, he referred to the objections of some states in implementing the laws without any consultation. The Center is insisting on the states to inspect and enforce laws. He advised the government not too pressured by rating agencies. Paying dues to MSME sectors will alleviate the difficulties of the companies, he said.
Stimulus package like America is not possible in India. Airlines are in serious trouble. Also, he asked to provide relief to the airline in case of debts. The financial sector has long been under severe pressure. With the corona crisis now facing further challenges. He also pointed out that key steps need to be taken, including restructuring and recapitalization.
Raghuram Rajan on PMO