Sri Lanka is grappling with a severe economic crisis and India has been at the forefront of extending economic assistance
Sri Lanka is grappling with a severe economic crisis and India has been at the forefront of extending economic assistance
Former NITI Aayog Vice-Chairman Arvind Panagariya on July 31 said it would be ‘silly’ to compare the economic situation of Sri Lanka with India, though lessons can be learnt from the crisis in the island nation.
Mr. Panagariya, in an interview with PTI further said since the 1991 balance of payments crisis, successive governments have managed the macroeconomy conservatively.
He pointed out that in the case of India, fiscal deficits have not been allowed to get out of hand, the exchange rate has been allowed to depreciate to keep the current-account deficit low, monetary policy has been restrained to keep inflation low and the opening of financial capital flows has been done in a calibrated…
