An alternate approach to understanding the impact of the COVID-19 shock on India’s economic activity

Despite a brutal second wave with cases peaking in April-May 2021, India’s Gross Domestic Product (GDP) grew at a record pace of 20.1 percent in the April-June 2021 quarter compared…

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Budget bats for key policy measures in the banking sector: Implementation is the key

The Union Budget for FY 2021-22 presented on February 1, 2021 has the distinction of being the first budget after Covid-19 devastated much of the world, including India. India registered…

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Banking Distress: Causes and Remedies

The past three years have witnessed rapidly increasing stress on the Indian banking sector, with non-performing assets (NPAs) steadily climbing from under 3% to over 11% of total assets. Loan-loss provisioning for these NPAs has seriously eroded the capital base of a number of banks, thereby limiting their ability to make further loans. There is now a general consensus that the state of Indian banking is one of the biggest challenges facing the country in accelerating investments and growth. Pronab Sen in his article argues that much of the problems currently being faced by the banking sector arise from a fundamental change that occurred in the Indian banking sector after 2002.

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Fiscal Federalism and GST: In Conversation with Sudipto Mundle

The world is currently in increasing turmoil because of factors such as the global economic slowdown, protectionist policies adopted by the USA, and the withdrawal of the United Kingdom from the European Union. It is imperative that cooperative federalism between the Union and the States is encouraged for India’s economy to remain resilient in the face of international economic turbulence. Ashima Mahajan speaks to Sudipto Mundle about fiscal federalism, GST, Finance Commission, and possible solutions to having a cooperative fiscal arrangement between the Center and states.

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