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COVID-19 INDIA
Government policy in view of COVID-19 Whilst the world economy is said to be on brink of collapse due to the pandemic Covid-19, the government of each and every country have announced stimulus/ relief packages which the country faces on account of lockdowns. India is one of the developing countries where fair amount of population is below poverty line. The government have made it very clear that numerous packages shall be announced to bring the back the economy on track. One of the big announcement made by the Prime Minister, is to have a local business and be self-reliant. The Government of India has declared an overall package of USD 260 billion (INR 20,000 lakh crore) which is approximately 10 percent of India’s GDP. Such humungous package is by far the largest package announced by any developing nation. The Government of India had in March announced one stimulus package for poor. Subsequently, starting from 13 May 2020, the government is announcing different tranches of the package on a daily basis. We have captured below the announcement made by the Government till 14 May 2020. Announcements made on 15 May 2020 and subsequently will be shared in next update.
We have highlighted below the major announcement by government of India in its total of three stimulus Insurance cover for corona warriors •
An insurance cover of around USD 66,000 (INR 50 lakhs) to doctors, healthcare workers and pandemic workers who are on duty during this tough corona times.
Prime Minister Development of Poor Scheme (first tranche) •
Total package of USD 22,476 million.
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As India is primary an agricultural economy, the government is providing some basic amount which shall benefit around 8690 million farmers.
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Further, the government will credit certain amount to all basic poor account holders over a period of three months to run their households. There has also been marginal increase in the minimum daily wages of registered workers which would benefit 50 million workers.
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Benefits provided to poor senior citizens, widows and disabled. Free cooking gas for 3 months to registered users under the LPG scheme.
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Out of the total population of 1300 million people, 800 million people to receive foodgrains over a period of three months.
