The government has launched many measures, such as raising the debt-to-GDP ratio, extending government debt, increasing liquidity and lowering financing costs. The Government Work Report for 2020 introduced more and stronger actions. "As long as these policies are in place, China will take the lead in achieving economic stability and recovery," said Yang. … [Read more...] about Economy has ‘sufficient ammunition’ to drive growth, CPPCC member says
Why economic growth is important
Ning Jizhe, deputy head of the National Development and Reform Commission, said that while the novel coronavirus pandemic severely disrupted the Chinese economy, the country's business is getting back to normal. It is doing so with the help of government measures in an orderly resumption of work and production as well as epidemic prevention and control, he added. … [Read more...] about Govt steps to encourage steady growth momentum
Some export-oriented companies may face severe challenges due to the changing landscape of global trade. They have to transition from relying mainly on external demand to relying mainly on domestic demand. Under the circumstances, the government may need to create an item of expenditure to help these companies get through hard times during the transition. … [Read more...] about Situation ripe for expansionary fiscal, monetary policies
China's first proposal to the CPPCC National Committee 71 years ago was of great significance as it suggested making Oct 1, the founding day of the PRC, the National Day of the country. … [Read more...] about How China set Oct 1 as its National Day
The Reserve Bank of India (RBI) on Friday unexpectedly slashed its key policy rate for a second time this year, in a move to counter the economic fallout from an ongoing nationwide lockdown to contain the spread of the novel coronavirus. It cut the repo rate by 40 basis points to 4%. The reverse repo rate was also reduced by 40 basis points to 3.35%. This is how economists and market analsysts reacted to the development:- Deepthi Mathew, Economist, Geojit Financial Services By cutting the repo rate and reverse repo rate, RBI aims to inject more liquidity into the system. However, more importantly, what is needed is to remove the risk averseness as there is substantial liquidity in the banking sector. The rising food inflation rate could be a challenge to RBI as it is following the inflation targeting regime. Similarly, the extension of the moratorium would bring in some relief to the borrowers, but it can put pressure on the bank's balance sheet. Suvodeep Rakshit, Vice President … [Read more...] about RBI policy post-mortem: Liquidity is okay; what about risk aversion?