Finance Minister Arun Jaitley has said maintaining fiscal prudence is a “challenge”, but maintained that there is no need to “panic” amid reports that the government is planning to unveil stimulus to revive the economy.
Speaking at the Bloomberg Economic Forum in Mumbai, Jaitley said, “How do you maintain the balancing act between continuing to spend in an economy, continue to maintain your banks and support them, and how do you maintain standard of fiscal prudence? And this is the challenge we are facing.”
“We are all conscious of the fact that there is a value and an importance of the kind of prudence that is required in an economy, we are a responsible economy. At the same time, we also are conscious in such situations of spending. Obviously, the real answer lies in finding the balance between the two. The balance lies in finding the resources to do the same,” he said.
“I don’t think there is a need for panic. There’s a need for analysis and for responsive action to this and we are fully prepared for this,” he said.