Login With Google
India’s high government debt
Why is it in news?
- The Moody’s Investors Service noted that India’s high government debt could limit its ability to give a fiscal stimulus to the economy.
More from the report:
- Job losses, income shocks and the gaps in health infrastructure pose ‘highly negative risks’ for the country’s growth prospects.
- Moody’s expects income and social inequality to widen in 2021, while the number of people falling into poverty will rise significantly.
- The traditional emphasis on infrastructure spending to support growth may now have to expand to include social spending on healthcare and pensions.