Government should prevent K-shaped recovery: Raghuram Rajan

Raghuram G Rajan, Former RBI Governor, opined that Omicron is a setback, both medically and in terms of economic activity but cautioned the government on the possibility of a K-shaped economic recovery. (Source: Businessline)

The Indian economy has “some bright spots and a number of very dark stains” and the government should target its spending “carefully” so that there are no huge deficits, noted economist and former RBI Governor Raghuram Rajan said on Sunday.

Known for his frank views, Dr. Rajan also said the government needed to do more to prevent a K-shaped recovery of the economy hit by the coronavirus pandemic.