The GDP growth rate will remain negative in the first quarter, the government admitted for the first time

New Delhi, May 6, 2020

For the first time, the government has made clear its stance on the package to the corporate sector as well as India's GDP growth, amid a severe blow to the economy during the Corona era.

"We cannot ask for a package compared to other countries. We will have to pay a higher price for Corona. The growth rate may be negative in the first quarter. However, at the end of the current financial year, the growth rate may be around two per cent," said KV Subramaniam, chief economic adviser to Sakar.

In an interview to an English newspaper, he said, "We have to understand that nothing is free in the economy. If we increase the fiscal deficit, it will affect the fundamentals of the economy. It is not appropriate to compare India with other countries and ask for a package." Even then the economy grew on its own. At that time the economy was in V shape and this time it is hoped that the same will happen Is.

While the corporate sector is expecting a big package from the government, the statement by the government's chief economic adviser is indicative and could mean that the government is not in the mood to give a big package to the corporate sector.