Actual financial package is only Rs 4 lakh crores: Kapil Sibal
Kapil Sibal said that the Reserve Bank of India (RBI) would inject Rs 8 lakh crores and Rs 5 lakh crores would come from additional government borrowings and Rs 1 lakh crore would be revolving guarantee.
New Delhi: A day after Prime Minister Narendra Modi announced Rs 20 lakh crore special economic package for the country to become ‘self-reliant’ and deal with COVID-19, Congress leader Kapil Sibal said that out of the total package the government cash outflow amounts “only Rs 4 lakh crores”.
He further said that the Reserve Bank of India (RBI) would inject Rs 8 lakh crores and Rs 5 lakh crores would come from additional government borrowings and Rs 1 lakh crore would be revolving guarantee.
“PM says: Financial Package: 20 2020 Of Rs20 lakhs cr. experts say: Govt. cash outflow only Rs4 lakh cr. Rest: RBI injected into system Rs8 lakh cr. Additional govt. borrowings over Rs 5lakh cr. Rs1 lakh cr. revolving guarantee Actual financial package: 4 2020,” tweeted Sibal.
PM says :
Financial Package : 20 2020
Of ₹20 lakhs cr. experts say :
Govt. cash outflow only ₹4 lakh cr.
Rest :
RBI injected into system ₹8 lakh cr.
Additional govt. borrowings over ₹ 5lakh cr.
₹1 lakh cr. revolving guaranteeActual financial package :
4 2020
— Kapil Sibal (@KapilSibal) May 13, 2020
“I announce a special economic package today. This will play an important role in the ‘Atmanirbhar Bharat Abhiyan.’ The announcements made by the government over COVID, decisions of RBI, and today’s package total to Rs 20 lakh crore (USD 265 billion). This is 10 per cent of India’s GDP,” the Prime Minister said in his address to the nation on Tuesday. (ANI)