New Delhi: Finance Minister Nirmala Sitharaman has said that the Central government's measures in the special economic package to deal with the impact of coronavirus crisis were aimed at "greater multiplier effect" and it should be through banks for meeting the fixed cost expenditure and for working capital.
Sitharaman told ANI in an interview on Wednesday that the Central government has given some cash transfer in the PM Garib Kalyan scheme announced after the first coronavirus induced lockdown.
"It was important to give stimulus for businesses to start off. In the PM Garib Kalyan scheme -- introduced after lockdown, we gave some cash transfer. With that done, we weren't closing the option," Sitharaman said when asked if the government considered more immediate measure while deciding economic package.
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"For cash transfer, we thought it was far more effective because the way in which we've planned it, we thought there will be a greater multiplier effect, and therefore, it should be through banks, businesses for meeting the fixed cost expenditure; it should be money which is given for working capital; it should also money for loans so that they can buy raw materials," she added.
Prime Minister Narendra Modi had earlier this month announced Rs 20 lakh crore special economic package to deal with the situation created by the coronavirus and to make the country self-reliant.
Govt to help migrants in coming back when industrial activities resume: Sitharaman
As industrial and economic activities resume with easing of restrictions amid the Covid-19 countrywide lockdown, Sitharaman said that the government will make plans for migrant workers to return back to cities and towns.
"We will have to see how best we are going to work this out with the companies and also with migrants who may want to return," she said in an interview with ANI Editor Smita Prakash.
"So there is a lot of work to be done by the Centre, the states and companies." Sitharaman said a lot of companies have had queries from the workers to check if the lockdown is going to be lifted soon and when the production is likely to commence.
Industry needs to reset relations with workers
Industry needs to reset its relations with workers and also consider a professional way to engage unskilled workers, Finance Minister Nirmala Sitharaman said on Wednesday in view of the COVID-19 crisis.
"Mindsets in industry need to set examples in handling workers in a way that is acceptable to all," She said during an interaction with members of Confederation of Indian Industry (CII) which is marking 125 years of its existence in 2020.
Asserting that the government trusts industry fully and comprehensively, she emphasised the need to reset its relations with workers and consider a professional manner in terms for engaging unskilled workers.
The industry should also strive to work towards the skilling of employees at all levels, CII quoted her as saying in a statement.
(ANI and PTI Report)
