Nirmala Sitharaman expected to announce Rs 3 lakh crore economic package

New Delhi, May 12: Finance Minister Nirmala Sitharaman is expected to announce an economic stimulus package worth Rs 3 lakh crore this week.

A Business Standard report said that the next set of announcements could total three trillion Rupees or more. The spending on all the initiatives put together is expected to be similar to what is offered by the G-20 countries in terms of GDP percentage.

The centre has been considering a measured approach to deal with the existing situation. Moreover, there is growing pressure from the industries for a package.

It may be recalled that last month, the Confederation of the All India Traders, which represents around 70 million small retailers had demanded bank loans at special interest rates. They had also demanded government-backed insurance for traders and employees apart from a wage protection plan or subsidy that would allow the ones of Kirana stores to pay their workers.

The package would focus largely on the small retailers first as they are the hardest hit by the lockdown. The Centre's economical package has been in the work since March. The industry bodies have sought to a Rs 16 lakh crore package to help them sail through the effects of the lockdown.