New Delhi: Union Finance Minister Nirmala Sitharaman on Sunday announced the 5th and the last tranche of Rs 20 lakh crore economic package.
Sitharaman in her 5 tranches gave economic reliefs to various ailing sectors of the Indian economy including MSME, agriculture, aviation, etc.
These announcements were followed by the Prime Minister Narendra Modi’s pledge of a total spending of Rs 20 lakh crore to weather the fallout of coronavirus pandemic while addressing the nation on Sunday.
The economic package of Rs 20 lakh crore is among the largest stimulus package announced by nations around the world. Modi’s Atma-nirbhar Bharat Abhiyan or Self-reliant India Mission is about 10 per cent of India’s GDP in 2019-20 and would rank behind Japan, the US, Sweden, Australia and Germany.
India’s Rs 20 lakh crore package equals to USD 265 billion. However, it is not entirely in new spending and includes the earlier announcements under PMGKP worth Rs 1,92,800 crore and RBI measures including Rs 8,01,603 crore which sums up to Rs 9,94,403 crore.
Read more:Economic Stimulus: Know how Rs 20 lakh crores is spent
India's stimulus value in dollar terms is higher than the GDP of 149 countries such as Vietnam, Portugal, Greece, New Zealand and Romania. It almost equals Pakistan’s annual GDP of USD 284 billion. Similarly, India ranks 6th in stimulus share in terms of GDP.
Also, the stimulus is 1.8 times bigger than USD 147 billion in fortune of the 10 top wealthiest Indians. The amount is five times the personal wealth of richest Indian Mukesh Ambani.
Not only India but all the countries around the world have announced " Coronavirus Stimulus Package."
Here is the list of countries who have announced a major percentage of its GDP for the relief packages.
Economic stimulus packages by various countries - The United States has committed to the largest rescue package by any country in pure dollar terms of USD 2.7 trillion but as percentage of GDP it trails behind Japan, according to data compiled by economist Ceyhun Elgin in the COVID-19 Economic Stimulus Index (CESI). The US measures work out at an estimated 13 per cent of GDP.
- Japan has announced a package equivalent to 21.1 per cent of its GDP. It has outlined USD 1.1 trillion recovery package and plans for further spending.
- Sweden has provided stimulus equal to 12 per cent of its GDP.
- Australia has announced a package equivalent to 10.8 per cent of its GDP.
- Germany has announced a spending of around USD 815 billion, equal to 10.7 per cent of its GDP.
- France announced a package equal to 9.3 per cent of its GDP.
- Spain's size of stimulus packages is estimated to be 7.3 per cent.
- Italy which endured devastating coronavirus outbreak, has announced an Euro 750 billion (around USD 815 billion) package which is 5.7 per cent of GDP.
- China's stimulus package as a share of GDP is 3.8 per cent.
