Budget 2021 needs to restore millions of lost jobs to boost demand

India’s Finance Minister Nirmala Sitharaman has described her upcoming budget as unlike anything seen in the last 100 years.
 

When she presents it on Feb. 1, Sitharaman will not only aim to repair battered government finances and ensure demand recovers in an economy facing its worst contraction since 1952, she must also revive declining revenue and restore millions of jobs lost during the pandemic. That will be crucial to boosting consumer sentiment in a country where local demand contributes nearly 60% of gross domestic product.

“The virus has led to a demand shock and the budget