IMF says India needs another fiscal stimulus, income support to fight Covid

In the short term, a detailed well communicated and credible medium-term fiscal consolidation plan is also important, alongside an increase in fiscal transparency, IMF said

The IMF on Thursday said that there is a need for another stimulus, especially expenditures on health, food and income support for vulnerable households, and support for businesses in view of the Covid-19 pandemic.

Gerry Rice, Director of Communications Department at the International Monetary Fund (IMF), told reporters at a virtual news conference here that the Washington-based global financial institution supports the Indian government's responses to the pandemic including fiscal stimulus with a focus on low income workers and households.

“We support the monetary easing and liquidity and regulatory measures for the financial sector and borrowers that have taken place.