Govt may need Rs 5 trn more to boost economy hit by Covid-19: Subhash Garg

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The government may need to borrow at least 2 per cent of GDP or about Rs 4-5 trillion additionally for supporting people and businesses hit by the and nationwide lockdown, finance secretary has said.


“It seems necessary and advisable that the Government of India borrow this directly from the RBI instead of borrowing from the market. The FRBM (Fiscal Responsibility and Budget Management) Act should be amended to enable this,” he said.


For the current fiscal, the government plans to borrow Rs 7.8 trillion from the market and contain fiscal deficit at 3.5 per cent of the GDP. Of this, the government decided to borrow Rs 4.88 trillion during the first half itself.


Observing that the unconventional solutions are needed for the unprecedented times, Garg said, the government should make a departure from the past to help the businesses, especially the small and own-account businesses that are likely to fold up if not helped with grant support.


ALSO READ: Sonia Gandhi writes to PM, suggests measures to fight Covid-19 outbreak


“The government should support the small and self-employed businesses by an estimated amount of Rs

Get ready for social distancing when you fly next after lockdown ends

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From operating an aircraft with less capacity to no shopping – and airports will have to take strict measures of social distancing until the corona virus pandemic is over.


Indian aviation regulator is framing a set of protocols to ensure that distancing is measured in confined places like aircraft and airport once air transport resumes. Airlines will have to follow the protocols till the World Health Organisation declares the outbreak over which according to the agency’s own estimate is months away.



The measures executive fear could make return to normalcy painful for a sector which has been the worst effected due to the outbreak and a consequential


ALSO READ: Coronavirus LIVE: Maharashtra cases top 1,000; India death toll at 124


Prime Minister Narendra Modi announced 21-days on March 25-one of the most stringent measures any country has taken to control the outbreak of the virus. The government is likely to remove the ban in phases for both domestic and international flights in order to prevent crowding at airports.


The Standard Operating Procedure being formulated by DGCA will make it mandatory for

Is company liquidation a viable solution for enterprises going into insolvency?

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If after a difficult period and numerous failed recurrence attempts, you have concluded that there’s no other option for your business than declaring insolvency, you may be currently researching the best methods of dealing with this situation.

Because not being able to longer pay off your debts can be followed by numerous complications, both legal and financial, it’s imperative to handle each aspect carefully and to adopt the best strategies. After looking into the subject for a bit, you will discover that numerous companies in your position have chosen to opt for an enterprise liquidation, and here’s why you should consider doing the same:

Existing debts can be written off

The most obvious attempt that should determine you to give this possibility more of your thought is the easy process of writing off your existing debts.

All unsecured business liabilities that you have not personally guaranteed will fall outside your responsibility, after your enterprise has been dissolved, and creditors have received their share through the sale of company assets. Liquidation will protect you from monetary worries linked to company debts, allowing you to redirect your focus towards other business prospects.

Personal liability protection

As a director, stressing over personal

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