(a)whether the desired effect has been seen in the economy as a
result of announcement of stimulus packages by the Government
in the recent past;
(b)if so, the details thereof, sector-wise;
(c)whether the Government is planning to come out with another
stimulus package to boost the economy;
(d)if so, the details thereof;
(e)the time by which the package is likely to be announced; and
(f)the expenditure, sector-wise, so far incurred by the Government in the stimulus packages?
MINISTER OF STATE IN THE MINISTRY OF FINANCE(SHRI NAMO NARAIN MEENA)
(a) to (f) The Indian economy in 2008-09 was seriously impacted by
the twin global shocks - of unprecedented increase in the global
commodity prices in the first half of the year and the ripple effects
of the deepening of the global financial crisis in the second half.
As an appropriate and immediate short-term policy response, fiscal
stimulus was announced by the Government, while the RBI initiated
measures to assure liquidity in the system. The stimulus packages of
the Government composed of both tax cuts and expenditure hikes. As
these go beyond sector-wise additional expenditures and have
macro-economy wide focus, it difficult to gauge the sector-wise
precise effect. Nevertheless, the economy appears to have responded
positively by posting a real GDP growth of 6.7 per cent for the year
2008-09. Initiating appropriate policy response to the emerging
situation is a continuous process.