Finance Minister Nirmala Sitharaman’s investment-spending-led growth-plan seems to have impressed India Inc. It sent the fickle stock market skyrocketing and inspired corporate chieftains to heap generous praise for the minister’s bold move, without being constrained by fiscal discipline.
Does all this applause mean anything? Can the growth plan truly re-ignite the animal spirits in the economy?
Or is it like an indulgent crowd of parents at a school play?
The government is making an effort for sure. The Union Budget has allocated a capital spend of Rs.5.54 trillion for FY22, up 26% from Rs.4.39 (FY21 Revised Estimates). This, along with the spends of the public sec